Social expenditure increased by 28.6% in 2020, mainly as a result of Covid schemes

In 2020, there was a 28.6% rise (€582.8m) in the country’s social outlay, figures released by the National Statistics Office show. The increase was mainly a result of the Covid-19 benefits and schemes introduced by government during that year. By the end of the year, the total social outlay amounted to €2,622m, which is 20.1% of the country’s GDP.

Employment support measures were introduced which led to a largest increase in social expenditure. So much so, that in 2020 these measures amounted to €410.2m. 96.5% covered basic wages under the Wage Supplement scheme.

In addition, there was a rise of €80.8m under the Hospitals and Other Health Care Facilities scheme.

The Social Security Contributory Benefits scheme also saw a €52.9m increase during the year.

Out of 19 of Malta’s social protection schemes, 12 reported an increase in expenditure during 2020.

The report showed how on average, beneficiaries were receiving €6,032 in benefit income.

83.9% of the total spending went towards Old Age, Sickness/Health Care and Unemployment functions, with Old Age benefits having the largest expenditure after recording the largest number of recipients in 2020.

According to the report, 33% of the whole population utilises some form of social benefit, with women taking up 55.8% of the total.

That being said, Floriana recorded the largest amount of social benefits at 44.8%, while Swieqi recorded the lowest at 16.4%.

Moreover, Bormla recorded the highest number of social exclusion benefit recipients at 13.2%, which is significantly higher than the average of 4.6%.

The NSO also said there were 97,070 persons in a receipt of a pension in 2020, 56.4 per cent being males.