Social Affairs Minister Hubertus Heil wants to introduce a social “climate money” that is intended to relieve households with low and middle incomes in particular. The idea will be implemented soon.

In order to relieve low and middle incomes from rising energy and food prices, Social Affairs Minister Hubertus Heil wants to introduce a social climate allowance for people with a monthly gross income of less than 4000 euros. “We have to give an answer beyond the current relief package,” said the SPD politician to the newspapers of the Funke media group.

“I am firmly convinced that we need permanent and targeted relief for everyone with low and middle incomes: employees, pensioners, students and trainees,” said Heil. “And that’s why I want to introduce social climate money to ensure that there is social balance.”

Socially graded payments once a year

According to the minister, the climate money should be paid out once a year and “benefit people who earn less than 4,000 euros gross as single people and less than 8,000 euros gross a month as married people”. The coalition still has to talk about the exact staggering and scope.

Heil emphasized: “For me as Minister for Social Affairs, it is important that we structure this climate money in a socially staggered manner – according to the principle: those who need it most get the most. Those who don’t need it that much get something. And those who earn a lot get nothing.” For high earners, high prices are “an annoying thing, but they can deal with it”.

Rapid implementation of the climate money

It is also important to him that the climate money is introduced faster “than some in the coalition imagine,” said Heil. “If it is technically possible, we should implement the social climate money on January 1, 2023. If that doesn’t work, we’ll have to work with bridging one-off payments.”

In addition, the new citizens’ allowance should be introduced on January 1st. Heil said: “My suggestion is that we take the bottom 30 instead of the bottom 20 percent of income as a basis for family households. In this way we can achieve that the standard rates of citizen income per person and month will be around 40 to 50 euros higher than in the basic security. This corresponds to an increase of about 10 percent. I think that’s reasonable.”