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SPD: Bürgergeld Reform Won't Increase Homelessness

Despite concerns from welfare organizations, the SPD-led government assures that the Bürgergeld reform will not lead to increased homelessness. The reform prioritizes protecting people's homes and introduces hardship provisions.

In this image we can see sheds, transformers, electric poles, electric cables, fences, street pole,...
In this image we can see sheds, transformers, electric poles, electric cables, fences, street pole, street light, trees and sky with clouds.

SPD: Bürgergeld Reform Won't Increase Homelessness

The SPD-led German government has clarified its stance on the upcoming Bürgergeld reform, assuring that it will not lead to increased homelessness among people. Deputy parliamentary group leader Dagmar Schmidt dismissed concerns raised by welfare organizations, stating that the reform aims to protect people's homes.

The reform, spearheaded by Labour Minister Hubertus Heil, seeks to prevent anyone from losing their home due to the changes. It introduces hardship provisions for those with mental health conditions, ensuring they won't face sanctions that could push them into financial hardship.

Key aspects of the reform include tying the housing cost cap to reasonable standards, not forcing people out of their homes. Rent payments will continue to be made directly to landlords, even in cases of benefit reductions. Before any reduction, job centers must hold personal hearings to consider individual circumstances, including health or psychological burdens.

The draft for the Bürgergeld reform, submitted in October 2025, reflects the government's commitment to maintaining a dependable, fair, and humane welfare state for all people. While rent payments may be cut off for those refusing certain jobs or failing to meet participation requirements, the government has made it clear that protecting people's homes is a priority.

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