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Germany's Bürgergeld Faces Overhaul as Costs Reach Record €46.7 Billion

Coalition agrees to stricter sanctions and rebranding, while CDU pushes for abolition of the welfare program.

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33,9 Prozent der Erststimmen reichen für Hubertus Heil für Platz eins im Wahlkreis Gifhorn-Peine. (Archivbild)
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Bürgergeld. Will die Hilfeleistungen für Ukrainer einstellen: René Springer, Landesvorsitzender der Brandenburger AfD. Foto: picture alliance/dpa | Annette Riedl

Overview

  • Bürgergeld expenditures in 2024 hit a record €46.7 billion, a 10% increase from the previous year, driven by higher living allowances and housing costs.
  • The CDU, led by General Secretary Carsten Linnemann, has called for the immediate abolition of Bürgergeld, citing unsustainable costs.
  • A preliminary coalition agreement proposes transforming Bürgergeld into a 'new basic security' program with stricter sanctions and a focus on job placement.
  • Municipalities, such as Essen, are raising rent thresholds to address housing challenges for welfare recipients, reflecting local pressures from rising living costs.
  • Studies criticize Jobcenters for allocating up to 70% of budgets to administration rather than employment support, fueling calls for systemic reform.