Ulrich Schneider, General Manager of the Paritätischer Gesamtverband, at a press conference in 2018
“Prices are rising now”: According to the Paritätisches Gesamtverband, the federal housing benefit reform comes too late. People would have to be relieved immediately and more than planned for rising electricity and gas prices.
DIn the opinion of the Paritätisches Gesamtverband, the federal government should act more quickly to relieve the burden on the citizens affected in view of the sharp rise in electricity and gas prices and higher living costs. “We simply cannot afford to wait months before making decisions,” said managing director Ulrich Schneider of the “Süddeutsche Zeitung”. “Prices for electricity and gas are rising now and in the coming weeks. We have to relieve people quickly – and not just on January 1st”. The current schedule of the federal government “completely ignores the dynamic and dramatic nature of the situation”.
Federal Chancellor Olaf Scholz (SPD) announced on Friday a “major housing benefit reform” to relieve low-income citizens from the high energy prices. In addition, a protective shield for defaulting rent and electricity or gas customers is under discussion. In mid-September, politics, business and trade unions want to discuss further steps.
In the opinion of the joint general association, however, the planned measures are taking effect too late. The association calls for a faster and unbureaucratic increase in basic security by 200 euros per month to 649 euros. This is the only way to secure the subsistence level, said Schneider. By the turn of the year, the exact requirement must then be determined during this transitional arrangement and paid out from January.
According to the federal government’s plans, a new citizen’s allowance is to replace the previous Hartz IV system at the turn of the year. However, there are still differences between the traffic light parties when it comes to the design – for example with regard to the amount of future benefits.