Malta spent almost €1 billion in social security benefits in 2019, the National Statistics Office said on Monday, reflecting an increase of 3.4 per cent or €32.7 million over 2018. 

The NSO said the spend on benefits totalled €997.9 million and most of the increase - €31.9 million – came from contributory benefits. 

Contributory benefits outlay amounted to €810.9 million, a 4.1 per cent increase from 2018. The main reason for the growth was a €27.5 million increase reported under pensions in respect of retirement, which is due to a higher number of two-thirds pensioners. 

Further increases were registered in the contributory bonus (€2.6 million), pensions in respect of widowhood (€2.5 million), benefits for industrial injuries and gratuities, and other benefits (both €0.1 million). A €0.8 million drop in pensions for invalidity marginally off set the increase in contributory outlay.

Total non-contributory spending for 2019 was €187.1 million, a 0.4 per cent increase from 2018. The biggest increases in non-contributory expenditure were reported under disability pensions/allowance (€2.7 million) and old-age pension (€2.6 million). 

In addition, there was also positive growth witnessed under In-Work Benefit (€0.7 million), Child Allowance and Medical Assistance (both €0.2 million). On the other hand, total social assistance and supplementary allowance spending dropped by €5.3 million and €0.3 million respectively.

In comparison to the last quarter of 2018, between October and December 2019 social security benefits outlay rose by €5.8 million and totalled €245.0 million. Contributory Benefits accounted for €199.7 million, or 81.5 per cent, of this expenditure that reflected a €5.6 million rise from the €194.1 million reported in the last quarter of 2018. 

Non-contributory outlay saw a minimal increase of €0.2 million during the same period. 

In 2019, the two-thirds pension represented the largest cohort of recipients standing at 51,258 persons - 2,271 more than the year before. This was in stark contrast to the National Minimum Widows’ Pension that reported the largest drop in recipients, with 707 fewer persons receiving the benefit.

The largest share of non-contributory recipients was registered under Children’s Allowance (42,679), despite reporting the largest drop in beneficiaries of 1,238. 
 In-Work Benefit recipients increased by 621 and amounted to 5,135 persons.