Berlin Senate Cuts Monthly Housing Costs for Thousands of Eligible Residents

The Berlin Senate approved new Wohngeld payment rates on 7 July that raise the monthly housing allowance for low-income tenants. The change applies to current recipients and new applicants who meet income and rent thresholds set by the state government. District housing offices will process the adjustments starting next month.

Rising rents and energy prices have increased pressure on household budgets in Berlin since the start of 2025. Local government records show that more than 115,000 households currently receive Wohngeld, with concentrations in Mitte, Neukölln and Marzahn-Hellersdorf. The update responds to data in the 2026 state budget papers that documented average rent increases of 4.8 percent in the previous year.

Changes to monthly expenses

A two-person household in a 65-square-metre apartment in Friedrichshain now receiving 320 euros in Wohngeld will see the payment rise to 365 euros. The extra amount covers a larger share of the contract rent plus documented heating costs. Single residents in smaller units in Spandau or Lichtenberg gain between 25 and 40 euros each month under the revised formula.

The legislation states that the increase draws from an additional 52 million euros allocated in the current state budget. This figure covers both the higher base rates and an expanded eligibility window for pensioner households whose incomes sit just above the previous cut-off. Local advocates note that the adjustment leaves other cost-of-living items, such as public transport tickets and grocery prices, unchanged.

Next steps for residents

Households already in the system will receive the new amounts automatically from August onward. New applicants must submit updated rent contracts and income statements to their local district office. The Senate administration projects that processing times will remain at the current average of six weeks.

Policy analysts say further reviews of the Wohngeld tables are scheduled for early 2027 once the next round of federal rent statistics becomes available. Residents can check eligibility through the city’s online portal or by visiting one of the twelve district Bürgerämter.