The child allowance will increase by €90 per child in 2023, finance minister Clyde Caruana has announced.
In the budget speech, the minister said that this was part of Labour’s electoral Child Guarantee pledge in the run-up to the last general election.
This allowance will be gradually increased by €450 throughout the entire legislature.
The Minister said that this measure will affect more than 41,100 families with 62,000 children and will cost €5.6 million.
He also announced measures to help those who opt to foster children with the introduction of a measure whereby those parents who adopt the child they were already fostering will continue to receive the Foster Care Allowance.
This allowance will be reduced gradually over four years or until the child turns 21, whichever comes first.
In this way, in the first year of adoption, 80% of the fostering allowance is still paid, 60% in the second year, 40% in the third year and 20% in the fourth year.
This is in addition to the refund grant on the costs related to local adoption which currently reaches up to €1,000 and over and above the children’s allowance in case of adoption of children under 16 years.