Times of Malta

Spending on social security benefits increases by 13.4%

During the first six months of 2024, the government’s spending on social security benefits increased by 13.4 per cent when compared to the same period last year.

According to national data, the expenditur­e during the first half of the year totalled €772.3 million.

The government’s spending on contributo­ry benefits amounted to €605 million – a 10.3 per cent rise from 2023.

Pensions received by retirees recorded the largest increase of €35.7 million. Further increases were registered when it comes to contributo­ry bonuses (€12.3 million) and widowhood pensions (€7.6 million).

On the other hand, invalidity pensions dropped by €0.1 million.

By the end of last month, noncontrib­utory spending amounted to €167.3 million – a 26.5 per cent increase in comparison to the previous year.

The rise was largely attributed to a €15.5 million increase in additional Cost of Living Adjustment payments and a €13.5 million increase in children’s allowance.

During the first half of 2024, the so-called ‘two-thirds pensioners’ totalled 59,901 – an increase of 2,152 beneficiar­ies over the correspond­ing period in 2023.

This was the highest increase exhibited among recipients of contributo­ry benefits. Conversely, the biggest drop was registered under sickness benefits (756).

The highest number of non-contributo­ry beneficiar­ies was reported under the additional Cost of Living Adjustment (98,272).

Furthermor­e, there were 43,748 families in receipt of children’s allowance – 704 more than the previous year.

In a statement, Social Policy Minister Michael Falzon said the data showed that the government was well aware of the current realities: “Families and pensioners know where they stand when it comes to social benefits. We have always implemente­d all that we promised, and we will continue to do so.”

“Expenditur­e during first half of year totalled €772.3m