The German government has reached a landmark agreement to end special welfare payments (Bürgergeld) for most Ukrainian refugees arriving after April 1, 2025. The reform — finalized after months of political debate — marks a significant shift in Germany’s refugee policy nearly four years after the start of Russia’s war on Ukraine.
According to an exclusive report by BILD, the SPD and CSU have agreed to reclassify new Ukrainian arrivals under the Asylum Seekers Benefits Act rather than the Bürgergeld system, which provides higher monthly payments and housing coverage.
A major political breakthrough
The deal was negotiated between Interior Minister Alexander Dobrindt (CSU) and Social Affairs Minister Bärbel Bas (SPD), ending a long-running dispute within the governing coalition. It fulfills a key promise made in the coalition agreement — to reassess the special support granted to Ukrainians who fled the war.
Under the new rules, Ukrainians arriving after April 1, 2025, will be treated the same as other asylum seekers. This means significantly lower benefits: instead of the €563 monthly Bürgergeld currently granted to single adults (plus housing and heating support), recipients under the asylum system will receive about €441 per month — divided into €196 for personal needs and €245 for basic living expenses such as food and clothing.
No retroactive cuts for current residents
Originally, the government had considered applying the new system retroactively, which would have reduced benefits for Ukrainians already in Germany. However, this idea was abandoned following strong opposition from local authorities and state governments, who warned of overwhelming bureaucratic complexity.
A senior coalition source told BILD: “Revising all existing cases would have caused chaos. It’s not worth the administrative burden — what matters is that we’ve now created a clear rule for the future.”
1.1 million Ukrainians currently in Germany
Germany currently hosts about 1.1 million Ukrainian refugees, most of whom fled the Russian invasion in 2022. Since then, they have enjoyed a special legal status allowing them to receive Bürgergeld rather than the lower asylum payments given to refugees from other countries.
However, government officials have repeatedly expressed frustration that relatively few Ukrainians have entered the German labor market, despite strong employment programs. The reform aims to create stronger incentives for job-seeking and integration, according to coalition insiders.
Political and social impact
Supporters of the new policy argue it will restore fairness within the welfare system and help reduce the financial strain on local administrations. Critics, however, warn that the decision could make life more difficult for Ukrainians arriving later and could undermine the humanitarian principle of equal protection for war refugees.
The reform underscores a broader shift in Germany’s migration policy — from emergency assistance toward long-term sustainability and integration. By 2026, analysts expect the change to significantly reduce public spending on refugee support, while also signaling a return to more standardized asylum procedures.
Background: What changes under the new system
Under the Bürgergeld framework, introduced in 2023 as a reform of Germany’s social welfare system, refugees with temporary protection (including Ukrainians) could receive full social support similar to German citizens.
The Asylum Seekers Benefits Act, by contrast, provides reduced benefits until asylum status or residence permits are formally approved. With this reform, Ukrainians arriving from April 2025 onward will no longer be automatically placed in the Bürgergeld category.
Existing Ukrainian residents will retain their current rights and benefit levels.
