Government outlay towards Social Security Benefits rose by €38 million in 2021
During 2021, Government outlay towards Social Security Benefits rose by €38.3 million in comparison to 2020, the National Statistics Office said.
Social Security Benefits Expenditure
By the end of 2021, spending on Social Security Benefits totalled €1,115.2 million, 3.6% higher than the previous year. A €35.9 million rise in Contributory expenditure was the primary reason behind the increase in spending, while Non-Contributory outlay increased by €2.4 million.
Government spending towards Contributory Benefits amounted to €914.2 million, a 4.1% rise from 2020. Pensions in respect of Retirement recorded the largest increase of €43.1 million, following a rise in the number of TwoThirds pensioners (2,071). Further increases were registered under Pensions in respect of Widowhood (€5.1 million) and Contributory Bonus (€2.2 million).
In contrast, lower expenditure was reported under Covid19 Benefits (€13.9 million), Other Benefits (€0.5 million) and Benefits in respect of Industrial Injuries and Gratuities (€0.1 million).
In 2021, €201 million went towards Non-Contributory Benefits, a 1.2% increase in comparison to the previous year. Supplementary Allowance exhibited the largest rise at €4.2 million, with higher annual spending was also reported under Child Allowance (€2.1 million), Non-Contributory Bonus (€0.5 million), Total In-Work Benefit, (€0.5 million) and Disability Pensions/Allowance (€0.4 million). Conversely, lower outlay was recorded under Old Age Pension (€3.7 million), Total Social Assistance (€1.3 million) and Medical Assistance (€0.2 million).
In the final quarter of 2021, social benefits expenditure totalled €271.5 million, 81.3% of which went towards Contributory Benefits (€220.6 million). In comparison to 2020, Contributory spending increased by €12.9 million, largely driven by a €10.2 million rise registered under Pensions in respect of Retirement. On the other hand, Non-Contributory outlay totalled €50.9 million, reflecting a €2.2 million drop from the previous year.
Social Security Beneficiaries
Between January and December 2021, the largest number of Contributory beneficiaries was recorded under the TwoThirds Pension (55,568). Furthermore, the 2,071 increase in Two-Thirds pensioners was the highest reported among the Contributory benefits.
On the other hand, the biggest drop in recipients was registered under the Covid-19 Parent Benefit (3,438). Children’s Allowance reported the highest number of Non-Contributory recipients, with 44,490 families in receipt of the benefit.