Due to the federal government’s planned cuts, more than 30,000 households in Saxony are at risk of losing their housing allowance. As of December 31, 2025, approximately 97,500 households in Saxony were receiving this government benefit, according to the State Ministry of Development’s response to an inquiry from State Representative Juliane Nagel (The Left).
Starting in 2029, only 65,000 households are expected to receive housing assistance
According to this, the federal government intends to reduce the number of households eligible for housing assistance by about one-third. About 65,000 households in Saxony would continue to receive housing assistance. According to the ministry, the change is set to take effect in 2029 under a transitional arrangement. Some households could switch to basic income support.
The cuts would particularly affect single parents, families with children, retirees, and young people in training, Nagel criticizes in a statement. They would have to spend an ever-increasing portion of their income on rent and utilities. “The federal government’s plans for cuts must be stopped. Saxony’s voice is also needed to achieve this.”