Social assistance expenditure in Germany rose by 18 per cent
Social welfare spending in Germany rose by 18 percent last year. In 2023, social welfare agencies spent a net total of 17.6 billion euros on services such as basic old-age security or care assistance, as reported by the Federal Statistical Office in Wiesbaden on Friday.
The largest share of social welfare spending, at 57.2 percent, went to basic old-age security and disability benefits. These services amounted to 10.1 billion euros, an increase of 14.5 percent compared to the previous year.
A total of nearly 1.5 billion euros (up 16.4 percent) was spent on assistance for living expenses, when individuals cannot cover their necessary living expenses on their own or with the help of others, such as their children. Around 1.6 billion euros (up 17.9 percent) was allocated to health assistance, assistance for overcoming special social difficulties, and assistance in other life situations.
The increase in social welfare spending is partly due to the fact that in 2022, spending on care assistance fell sharply as a result of the care reform, leading to lower overall social welfare spending. In 2023, care spending increased by more than 27 percent to nearly 4.5 billion euros.
A total of 25.4 billion euros was spent on services for integration assistance, which includes support for housing and leisure activities, as well as therapeutic services. This was 9.4 percent more than in the previous year.
Germany's increase in social welfare spending, primarily driven by health assistance and assistance in various life situations, surpassed 16 billion euros in 2023. Despite a decline in care assistance spending due to reforms, expenditures in this sector saw a significant rise the following year, reaching nearly 4.5 billion euros in Germany.