German rents surge sharply, DGB warns of widening gap with wages

A study commissioned by the German Trade Union Confederation (DGB) shows that rents in the 40 largest German cities have risen 51 % over the past ten years. Berlin leads with a 76.9 % increase, Hamburg 54.2 %, Munich 51.6 % and smaller cities such as Rostock and Lübeck saw rises of 83 % and 71.3 % respectively. At the same time, average wages grew about 31 % in the same period.

In Bavaria, DGB regional data reveal even faster rent growth: in Straubing rents jumped 61.4 % and in Bogen 55.7 % while wages lagged behind. Union officials argue that the rapid rise in housing costs erodes workers’ purchasing power despite tariff‑driven wage gains.

The DGB is calling for a nationwide rent‑stop action, stronger enforcement of the rent‑price brake, accelerated construction of public and non‑profit housing, and an end to proposed cuts in housing benefits. It urges the federal government to invest more in social and public housing and to tighten rules against rent‑gouging.