The monthly payments of the citizen’s allowance will not be increased next year. Federal Labor Minister Hubertus Heil announced a freeze on the TV channel RTL. The SPD politician justified this with the legally prescribed procedure for calculating the amount of the standard rates. If inflation is high, the standard rates must also be adjusted accordingly. Inflation has fallen sharply to 1.9 percent recently, said Heil. Therefore, there will be no increase in the citizen’s allowance on January 1. “And that is right.”
People in need must be helped, stressed Heil. “But it is also clear: this is the minimum subsistence level, no more, but also no less.” Sanctions are also to be tightened up. There are obligations to cooperate, stressed Heil.
Monthly payments had risen by more than twelve percent in 2024. In retrospect, it became clear that the increase was too high because the development of inflation had been overestimated. The freeze had therefore already become apparent at the end of last year. Adults living alone will therefore continue to receive 563 euros per month for living expenses in 2025, while partners and children will receive slightly less. Federal Justice Minister Marco Buschmann (FDP) recently even suggested a reduction.
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