German coalition government reveals internal disagreements over reforms to student grant programme

German Federal Research Minister Dorothee Bär has said that she was not expecting a reform of the student loan and grant programme, in opposition to what was initially promised by the coalition in power.

"My ministry has set everything in motion for the Federal Training Assistance Act for students who attend secondary schools and universities (BAföG) reform, and we are on schedule. However, I have also heard that the reform is no longer supported by the governing parties," the CSU (centre-right) politician told German media on 01/06/2026.

The BAföG regulates federal student grants and loans. Its rate is calculated individually based on parental income and other factors. According to the Federal Statistical Office, a total of around 501,400 of the 2.9 million students received BAföG funding in 2023.

The reform includes:
• Increasing the housing allowance for students no longer living with their parents from the current €380 to €440 per month, starting in the upcoming winter semester;
• Adjusting the basic BAföG allowance, currently €475 per month, to the level of basic social security…