At the end of this week, four payments will be paid at the new rates as part of the benefit payments for next year. Thus these payments are being paid in advance, and are being made with an investment of more than €24 million in benefits to 63,142 families.
This was announced by the Minister for Social Policy and Children’s Rights, Michael Falzon, during a news conference on Wednesday morning where he spoke about the payments, which include those of the children’s allowance, to families with children ‘disability, to families who are fostering children, as well as the supplementary benefit for couples and single persons with low income.
Minister Michael Falzon said that these payments are improved with increases carried out as a result of Budget 2025 and reflect the first quarter of next year. He claimed that the biggest investment will be affecting 41,791 families with 62,600 children under the age of sixteen who receive the children’s allowance. Once again this allowance will be increased by €250 per year for each child regardless of the family’s income.
The children’s allowance is paid to the parents of children under the age of sixteen according to the family’s available annual income. If the income is less than €20,502 the payment of the rate varies according to the amount of income in the relevant year (2023 in the case of 2025). If it exceeds this amount the payment will be a fixed rate of €450 per child.
In the computation of the Children’s Allowance rate, until now the payment of social security contributions has been ignored from the family’s income. From this year the amount of income tax that has been paid is also being ignored. With this reduction, where and as it applies, a family can benefit from a higher allowance rate.
Permanent Secretary Mark Musu said that the fostering allowance will also be increased, where around 180 families have 243 children in their custody. Another 44 children are cared for in the five children’s homes that also receive this allowance. A number of other children living in children’s homes are covered by Public Social Partnerships. With the increase of €10 per week in the allowance the amount per year has now risen to €6,240 for each child.
In addition to the children’s allowance, families with children with physical or mental disabilities are paid an additional weekly allowance. This is increasing by €260 per year for each child and reaches €1,820 per year. Mark Musu stressed that this is the fourth time in 10 years that the allowance is being increased. Today it covers more than double the rate that was paid in 2014. In fact, around 2,370 families with 3,900 children are entitled to this allowance. The number of children has grown in recent years because the eligibility parameters have been widened to include new disability conditions such as autism and ADHD.
At the weekend, the supplementary allowance will also be paid to families (who do not have children under 16), couples and people with low income to help them cope better with life.
The number of beneficiaries receiving payments up to now is 18,922. A little less than 70% are single people, widows and separated or divorced people. Maximum benefit rates are increasing for both categories.
- For couples the maximum rate has increased by €190 to €1,289 per year.
- For single persons it increased by €69 to €667 per year.
Persons aged 65 and over are paid an additional annual supplement of €150.
This year the income limit for couples has been widened to €18,000 – an increase of €2,252. Thus more couples have the opportunity to benefit.
The limit for single persons is being increased by €842 to €12,493.
The number of beneficiaries has dropped significantly since 2013 because social dependency has decreased and fewer families are needing this help. Many of the beneficiaries of the allowance are entitled to other benefits, including the Additional Cost of Living Benefit which will be paid next week and in the middle of next year.