Berlin increases housing benefits

The housing benefit reform of 2020 calls for the regular adjustment of housing benefit. This provision is intended to ensure that housing benefit recipients do not suffer a decline in household purchasing power. Adjustments are calculated in relation to the date the housing benefit reform was passed (January 1, 2020). As a result, low-income households who might otherwise lose their entitlements as their incomes increase can continue to receive housing benefit. From January 1, 2022, housing benefit recipients in Berlin will receive an average of €10.00 more per month. Almost 19,500 households in Berlin are affected by this regulation, including many pensioner households – almost half – and families. Clearly, as an alternative to stronger regulatory measures, targeted financial support can effectively mitigate the increasing burden of rising housing prices.