Housing benefit in Germany: record levels for households and spending in 2025

Anyone who can no longer afford housing can receive a government subsidy. How did budgets and spending develop last year?

Wiesbaden. The number of households receiving housing benefit and the expenditure on this rose to the highest level in 20 years in 2025. According to the Federal Statistical Office in Wiesbaden, government spending increased by more than 6 percent within a year, from almost 4.7 billion to almost 5 billion euros.

The number of households receiving housing benefit increased by 7.2 percent, or around 90,000 more than a year earlier. These are the highest values since the time series began in 2005.

“Housing benefit is provided to low-income households so that they can afford adequate housing,” the statement says. The amount of the claim depends on income, housing costs and the number of household members. The reason for the increases last year were legally required, regular adjustments to price and rental price developments.

According to the Federal Office, when comparing the federal states, the number of housing benefit households in Schleswig-Holstein rose the most at the end of the year, at 12.9 percent, compared to the previous year. Berlin had the lowest increase at 1.7 percent.

“The average entitlement to housing benefit per household ranged from 217 euros in Mecklenburg-Western Pomerania to 339 euros in Hesse.” In more than half of the housing benefit households, pensioners were the main income earners.