"Germany stands united at this challenging time"

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The third relief package "Germany stands united at this challenging time"

The third relief package will reduce the burden on citizens by 65 billion euros. Following the coalition meeting, Federal Chancellor Scholz explained that the aim was to steer the country through this period effectively by providing short-term aid, making structural changes to curb the rise in energy prices, and imposing levies on windfall profits in the electricity market. The planned measures at a glance.

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This chart shows important points from the third relief package. (More information available below the photo under ‚detailed description‘.)

The purpose of the measures, said Federal Chancellor Scholz of the resolutions adopted by the coalition committee, was to "get us through these difficult times together".

This graphic shows:

Heading: Third relief package underway:
Another 65 billion to relieve the burden on citizens

Bullet points:

  • Levies on windfall profits made on the electricity market
  • Electricity price brake
  • One-off 300 euros for pensioners and 200 euros for students
  • Higher housing benefit for significantly more low-income earners
  • Citizen's dividend to replace Hartz IV with higher standard rates as of January
  • More net income from gross salaries for midi jobs
  • Increased child benefit in 2023 and 2024
  • Tax relief through such things as a pension contribution tax exemption

Photo: Federal Government

As Federal Chancellor Olaf Scholz emphasised at the press conference on the results of the coalition meeting on Sunday, "The scope of the third relief package that we have now put together is greater than the first two combined". In total, the three relief packages amount to a volume of 95 billion euros. "We are mobilising a huge amount of funding,” said Scholz, “which is necessary and is intended to help citizens survive this situation together with us."

"It took some time," said Federal Minister of Finance, Christian Lindner about the planned package, "but I think the result is convincing.” “The third relief package represents a significant response to the crisis,” as Federal Minister for Economic Affairs, Robert Habeck explained, “and is based on a crucial principle, namely that the relief will be squarely directed at lower income earners.”

The details of the resolutions adopted are as follows:

All resolutions adopted by the Coalition Committee will be presented to the Cabinet before coming into force and will then pass through the Bundestag and the Bundesrat.