Housing benefit increases for tens of thousands of households in Saxony

At the turn of the year, housing benefit increased for many households in Saxony. Almost 74,000 households in the Free State are currently receiving their new notices, as announced by the Saxon Ministry of Infrastructure. For them, the housing cost subsidy will increase by an average of nine percent. For a further 1,300 households, the approved support remains unchanged.

Housing benefit as important relief

Saxony's Minister of Construction Regina Kraushaar (CDU) emphasized the importance of housing benefit for people on low incomes. "Some people on low incomes - for example pensioners, students or families - are effectively relieved with housing benefit." Together with the IT service provider, the housing benefit offices had ensured that the additional payment for January 2025 was paid out as quickly as possible together with the housing benefit for February.

The housing benefit is adjusted in accordance with the legal requirements of the so-called update. At the beginning of the year, the maximum amounts for rent and ancillary costs as well as the parameters of the housing benefit formula were increased in line with the development of the consumer price index. Particular consideration was given to price increases in net rent and ancillary costs.

Protection against deterioration

For households whose allowance has not increased, the reason for this is a simultaneous increase in the minimum income that is taken into account when calculating housing benefit. A statutory prohibition on deterioration ensures that amounts previously granted are not reduced.

Housing benefit is intended to support low-income households with their housing costs and is half co-financed by the state budget. The current increase is the second within a short period of time following the housing benefit reform of 2023.