New building standard: Government introduces simpler standard

rtr | The federal government has presented a bill for simpler and cheaper construction. By changing the construction contract law, construction can be carried out more quickly without certain comfort standards, as can be seen from a draft by the Ministry of Justice (BMJV) for the so-called building type E, which was available to Reuters on Monday morning. According to experience from pilot projects, construction costs can be reduced by 10 to 15 percent.

The new regulation provides for a voluntary option. The simplified rules only apply if the parties to a construction project expressly agree on the new “Building Type E Basic Standard”. Otherwise, the previous, higher standards will remain. The law does not change any of the mandatory government requirements regarding fire protection, statics or lighting.

"Building in Germany must become easier and cheaper. Because we need more affordable housing," explained Federal Justice Minister Stefanie Hubig (SPD). “With the Building Type E Act, we are paving the way for this.” Construction Minister Verena Hubertz (SPD) said: "Every euro that we do not put into unnecessary standards is a euro for more affordable housing. This makes building cheaper and remains legally secure."

The draft was preceded by months of discussions within the government. The Ministry of Justice and the Ministry of Construction originally presented a joint key points paper in November 2025. The construction and real estate industry associations as well as several federal states had recently repeatedly urged the government to speed up the project.

So far, building according to a more favorable standard has often failed due to legal uncertainties, as construction companies fear legal disputes if they deviate from established standards. The draft law will now be sent to the states and associations, which can comment until November 13, 2026.