Austrian Government Will Expand Subsidies on Housing and Heating

PeoplePoliticians ♦ Published: December 15, 2022; 23:45 ♦ (Vindobona)

The Austrian government wants to challenge the rising energy prices and help low-income persons by subsidizing their home and their heating. People who are eligible for those subsidies can get up to 330 Euros.

Minister of Finance Magnus Brunner about the Subsidy Cost on Housing and Heating / Picture: © Bundeskanzleramt (BKA) / Florian Schrötter

In the Council of Ministers, the Austrian government decided on the housing and heating cost subsidy, which is part of the federal government's energy protection umbrella. The subsidy to the federal states is intended for subsidies for heating and housing costs and is divided according to the population key. The individual modalities are left to the States. This means that each federal state can react to its situation – i.e. different forms of heating and income limits – and ensure the best possible help. The amount of support per person can therefore vary. The heating cost allowance in most federal states is currently a few hundred euros.

In concrete terms, the federal government decided on the following measures as part of the energy protection umbrella: In addition to the heating cost subsidy from the individual federal states, the federal government will be granting the federal states a one-off special-purpose subsidy totaling 450 million euros in the coming year. This subsidy is intended for subsidies for heating and housing costs and is divided according to the population key. As a safety net against evictions, the federal government is making a further 50 million euros available for support measures within the framework of the housing umbrella.

The federal government aims to use the additional funds to expand the circle of recipients so that people with low incomes, but above all families up to and including small and medium-sized businesses, are supported. With the federal housing and heating subsidy alone, subsidies of around 330 euros per capita would be possible for the lowest-income third of the Austrian population. Chancellor Karl Nehammer said about those particular measures "One thing is certain, in times of the greatest crisis, fast, direct and accurate help is needed for the people in our country who are particularly affected,"

According to Kurier, the heating cost subsidy must be applied for, for example using an online application form or at the municipal office. Recipients must submit proof of income and confirmation of registration. The subsidies for heating costs are not limited to gas heaters. After all, other energy sources have also become more expensive, as it was said. The heating cost subsidy in most federal states is currently slightly more than 300 euros per household.

Austrian Minister of Finance Magnus Brunner stated on these measures, “The housing and heating subsidy is an important help for Austrian households. The top priority for the federal government is and remains to maintain purchasing power. And to give people the security that they can continue to afford their lives. We have managed to do this with our numerous aid packages. And this is also confirmed by the budget service of the parliament: With our help, we have increased small incomes by up to 10 percent this year.”