On Monday, the Family and Social Solidarity Ministry launched the reform in children’s allowance. The ministry also published a leaflet explaining the reform and informing all those who have children that they can apply for children’s allowance with immediate effect.

This reform was introduced in the 2008 Budget, entitled “Families Growing Stronger”. It is one of the many initiatives taken by the PN government to address the needs and aspirations of the Maltese families.

The government has invested heavily in this initiative as thousands of children will be benefiting from an increase in children’s allowance while others will start receiving this benefit. In fact 67,000 children will be benefiting from this reform, out of which 25,000 children will be receiving children’s allowance for the first time.

As a counter proposal, the Opposition Leader said that the MLP will be giving the children’s allowance in the same manner prior to 1995. One should ask Dr Sant what he meant by this proposal. On examining the situation prior to 1995 the allowances issued were not as advantageous. Therefore one asks whether we would be moving backwards instead of forward.

Although at the time all children received children’s allowance, this was done at a much lower rate than today. When in 1996 the Nationalist government changed the system as to how we know it today, this was introduced in conjunction with a tax reform.

This means that when the children’s allowance was being given on the basis of a means test, income tax was reduced from 65 per cent to 35 per cent. Therefore, those with a low income benefited more from the children’s allowance while those in the higher income bracket benefited from the tax reform.

And here I would like to pose a question to the Opposition Leader. When he conjured his proposal for the children’s allowance, did he intend to revert also the income tax as to what it was prior to 1995?

We must keep in mind that from 1998 to date the rates of the children’s allowance always increased to benefit those families with a bigger number of children. Until this last budget, when the difference in the rate was eliminated completely with the result that all children are going to receive the same amount.

If we look at the tangible meaning of this reform, until this year those persons earning more than Lm10,270 and having up to three children did not receive children’s allowance. As from next January these same families will be receiving Lm107 annually for each child, irrespective of how many children they have. While today the minimum rate has been Lm52 annually, as from next year this has increased to Lm107 annually, thus the earning has more than doubled.

The reform in the children’s allowance is a clear indication that the PN government is acknowledging the responsibility and the role of those bringing up children as those with the lowest income will be receiving five times more than those at the top of the income ladder.

The Nationalist Party was never afraid to change its policies in order to reach those most in need. Responding to these changes the PN government shows that it has the will and the skills to implement good governance for the benefit of all.

Michelle Mallia is president of the Nationalist Party Women’s Movement