Government Faces Criticism Over Citizen Income Savings Plan

Berlin - The government aims to cut billions from the citizen income budget, but specifics on where these cuts will occur remain unclear. The Federal Ministry of Labor and Social Affairs, when approached for details, provided vague responses without offering concrete figures.

According to Minister Bärbel Bas, the government plans to reduce expenditures by EUR1.5 billion in 2026, followed by another EUR1.5 billion cut in 2027. The largest lever for achieving these savings is the number of recipients of citizen income support.

In response to inquiries about specific figures, the ministry stated that budgeting for citizen income and accommodation costs is based on current forecasts, such as the government's spring forecast, along with established assumptions regarding unemployment trends, the number of households in need, and the average amount of benefits provided.

Despite the ambitious savings targets announced by the Ministry of Labor, there is a notable lack of a detailed plan or financial breakdown to support these claims. Previous administrations under former Minister Hubertus Heil also faced criticism for announcing savings without being able to substantiate them upon request. In fact, costs associated with the citizen income program have continued to rise, reaching nearly EUR43 billion in 2025, marking a record high.

Similar challenges arise when examining the government's proposed measures for tightening regulations. Minister Bas has suggested that savings could be achieved through stricter penalties for those deemed unwilling to work and through enhanced efforts to combat illegal employment practices.

However, when asked for estimated figures regarding the number of individuals who might face stricter sanctions or the anticipated number of illegal work cases that might be uncovered through increased oversight, the ministry again provided no specific details. A spokesperson indicated that the governmental budget proposal for 2026 and the financial plans extending to 2029 are still under discussion, emphasizing that the impacts of proposed legal changes will be factored into the budget but without further elaboration.