Germany enacts new federal lobbying law and mandatory register

On 25 and 26 March 2021, the two chambers of the German parliament – the Bundestag and the Bundesrat – approved the Federal Act on the Introduction of a Register on Lobbying at the German Bundestag and the Federal Government (German Federal Lobbying Act). It seeks to increase transparency with regards to those individuals and organisations influencing the government decision making process in Berlin.

A mandatory register for lobbyists overseen by the President of the German Bundestag is at the core of the new rules. The German Federal Lobbying Act will enter into force on 1 January 2022 and registration must be completed by 28 February 2022. This new legislation follows other efforts to increase transparency following various recent political scandals. Companies and investors should take note of the new rules, including from an Environmental Social Governance (ESG) perspective.