At Last, Some Good News for Students: BAföG Reforms Are Coming
BAföG reforms approved after months of deadlock—higher aid coming soon
As SPD education policy experts announced on Wednesday, the federal government has resolved its funding dispute. A spokesperson for the Ministry of Education and Research confirmed a fundamental political agreement. This means the draft law can now pass through the parliamentary process before the summer recess—and the first phase of the reform can take effect as planned at the start of the coming winter semester.
For BAföG recipients, this means: Starting August 1, the housing allowance will rise from the current €380 to an expected €440. From next year, the basic BAföG rates will gradually increase from the current €475 to the level of basic social security (currently €563). As a result, the maximum BAföG payment—which now stands at €992—will exceed €1,100 in the future. Estimates suggest the reform will cost an additional €1 billion over this legislative term.
The dispute had centered on which budget would cover these costs. Science Minister Dorothee Bär (CSU) argued that the Finance Ministry should foot the bill, while Finance Minister Lars Klingbeil (SPD) insisted on financial contributions from the Science Ministry. According to our sources, the two ministries have now reached a compromise.
SPD lawmaker Oliver Kaczmarek expressed satisfaction with the agreement, stating that it demonstrated Finance Minister Lars Klingbeil's commitment to addressing students' financial hardships. As his parliamentary group's spokesperson for science policy, Kaczmarek helped negotiate the key points of the BAföG reform. "Given skyrocketing rents and sharply rising food prices, this reform is a long-overdue and necessary decision in the interest of students," he said.
Declining Number of BAföG Recipients
Kaczmarek had recently urged the government to take action. Back in November, the parliamentary groups had already agreed on the reform's core elements. Under the government's original timeline, the draft law should have been submitted to parliament two weeks ago.
Matthias Anbuhl, chair of the German National Association for Student Affairs (Deutsches Studierendenwerk), also expressed relief in response to our inquiry: "After months of deadlock and budgetary disputes between Dorothee Bär and Lars Klingbeil, it's a positive sign that the promised BAföG reform is finally moving forward." However, Anbuhl warned that legislation must now proceed swiftly: "Many students are already stretching their budgets to the limit, and with high rents and rising food costs, that limit is at risk of snapping," he said.
Last year, the number of BAföG recipients fell to its lowest level since 2000. Experts attribute this decline to two main factors: many students are unaware of their eligibility, while others find that the relatively low benefit amounts do not justify the high bureaucratic hurdles. A recent study shows that up to 70 percent of those entitled to support never even apply.
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