Germany's poverty rate rises as social benefits stay frozen

In 2025, 16.1 % of the German population – about 13.3 million people – were classified as at risk of poverty, an increase from previous years. The rise is most pronounced among children, single‑parent households and seniors. At the same time, core social payments such as basic security, social assistance and care allowances were not adjusted for 2026, with the standard rates remaining at the 2024‑2025 levels. The government’s decision to keep benefit amounts unchanged – a so‑called “null round” – means that real purchasing power for recipients falls as living costs continue to climb. Consequently, the gap between rising expenses for rent, energy and everyday goods and stagnant welfare support widens, exposing millions of households to heightened financial strain.