During the first half of 2015, the outlay on social security benefits decreased by €4.4 million in comparison with last year, mostly due to lower expenditure on Non-Contributory Benefits.

Total social security benefits amounted to €407.8 million during the first six months, reflecting a 1.1 per cent decrease compared to the corresponding period in 2014. The decline in outlay was due to a €13.2 million drop in expenditure on Non-Contributory Benefits. On the other hand, Contributory Benefits expenditure rose by €8.8 million.

Contributory Benefits outlay was €312.3 million by the end of June, 2.9 per cent higher than 2014. This was due to an €8.1 million rise in Pensions in respect of Retirement resulting from an increase in the number of the Two-thirds Pension beneficiaries.

Further increases were also recorded under Contributory Bonus (€1.2 million) and Pensions in respect of Widowhood (€0.2 million). Conversely, the main decline was recorded in Pensions in respect of Invalidity (€0.7 million).

Non-Contributory Benefits decreased by 12.2 per cent during the first six months of 2015 and amounted to €95.5 million. The main reason behind this decline was a lower Children’s Allowance by €9.6 million, due to an extra payment being effected during the first six months of 2014. Further decreases in expenditure were recorded under Supplementary Assistance (€1.8 million), Social Assistance (€1.4 million), Non-Contributory Bonus (€0.5 million) and Medical Assistance (€0.3 million). On the other hand, increases were registered for Disability (€0.3 million) and Old Age Pensions (€0.1 million).

In the second quarter, the outlay on social security benefits increased by €5.0 million, to €211.0 million. Contributory Benefits advanced by €5.8 million while expenditure on Non-Contributory Benefits decreased by €0.8 million. The rise in Contributory Benefits was due to Pensions in respect of Retirement (€3.9 million) and Contributory Bonus (€2.1 million), while the drop in Non-Contributory Benefits was the result of Social Assistance expenditure (€1.0 million).