The planned increase to the housing cost allowance within the BAföG student financial aid for students not living with their parents has been pushed back by six months. The relevant political figures from the Union and the SPD announced this delay in Berlin yesterday. Originally, the rise from €380 to €440 was slated to take effect in the upcoming winter semester, but it is now scheduled for the summer semester of 2027.
The delay stems from the ongoing effort to reach a final agreement on the broader BAföG reform outlined in the coalition agreement. This reform stipulates that the housing allowance will be increased at a later stage, while the basic BAföG benefit will be raised in two subsequent phases to align with the level of basic social security. The basic requirement is set to rise to €503 by the 2027/28 winter semester and further to €563 by the 2029 summer semester. Additionally, a regulation is planned to be implemented that allows for the review and adjustment of funding rates based on the standard levels of social security.
The Union party cited the tight financial situation and empty public coffers as the reason for the postponement. In 2024, BAföG was received by approximately 613,000 people, including 483,800 students.


