Overview
- The federal cabinet approved a BMWSB draft in July 2026 that proposes a Neustrukturierung of Wohngeld to reduce the ministry’s 2027 budget by roughly €1 billion.
- Key changes in the draft include cancelling the scheduled January 1, 2027 indexation and a rule that cancels claims when the calculated monthly payment would be under €15.
- Because §43 of the Wohngeldgesetz currently mandates a two‑year rent and price adjustment, the measures require a parliamentary amendment before they can legally take effect.
- The ministry says about one‑third of current households would lose entitlement under the plan, a change that would mainly affect pensioners, single parents and low‑wage renters and has drawn criticism from tenant and social groups.
- Local authorities remain overburdened after earlier expansions to Wohngeld, which has caused long processing times and frequent delays from missing documents, and sitting decisions continue to run until individual benefit periods expire.