Germany proposes streamlined building code to cut construction costs and boost affordable housing
The federal government has introduced a draft law creating a voluntary "Gebäudetyp E" standard that relaxes certain comfort requirements to lower building expenses.
Germany's coalition government has submitted a legislative draft that would add a voluntary "Gebäudetyp E" baseline to the construction contract code, allowing builders to forgo certain comfort-level specifications while keeping essential safety regulations intact. According to pilot-project data, the simplified standard could shave ten to fifteen percent off construction costs, potentially freeing up funds for cheaper housing.
Adoption of the new baseline is optional; parties must explicitly agree to use it, otherwise one outlet, more stringent standards remain in force. The law does not alter mandatory state requirements such as fire safety, structural integrity or natural lighting. Justice Minister Stefanie Hubig emphasized the need for cheaper building processes to increase the supply of affordable homes, and Building Minister Verena Hubertz highlighted the financial savings for each euro not spent on unnecessary standards. The draft follows months of intra-government negotiations and pressure from construction industry groups and several federal states.
Why it matters
Simplifying building regulations could lower housing costs and address Germany's affordable-housing shortage.
In this story
