Social services head warns of soaring benefit budget

SOCIAL Services head Evanthia Papasavva yesterday sounded the alarm, warning public resources were being drained by soaring benefit payments.

The government is this year expected to fork out nearly £60 million in public assistance benefits.

Those eligible include any legal residents with no financial means to support themselves – “in other words vulnerable social groups,” Papasavva said.

“These include people unemployed and registered with the Labour Ministry, pensioners who qualify for a financial supplement, people with disabilities, people unable to work for a long period of time due to illness, single parents and large families with over three children,” she told the Cyprus Mail.

But every year the public assistance limit is reviewed and raised according to the cost of living allowance. The rising sum means more people become eligible for public assistance.

At present, the figure is £182 a month. “In the past it was £120 then £130 then £150 then £175 and now it’s £182.” This amount should cover basic needs, such as food, clothing, water, fuel and lighting.

Papasavva explained that in the past, for instance, pensioners may not have been eligible for a public assistance supplement because their basic pension covered their needs.

“Now, if they receive a pension of £140, they are not only eligible for other benefits, but also receive public assistance to meet the minimum monthly requirement,” she said.

According to Social Services statistics, public assistance figures have more than doubled over the past decade, forcing the benefits budget to astronomical heights. During 1990-2003, the number of public assistance cases increased by 108 per cent from 8,020 cases to 16,658, involving 23,989 people. In 2003 alone, 7,538 new public assistance applications were put forward, Papasavva said.

She added that of the total 16,658 receiving public assistance by the end of 2003, 55.2 per cent concerned patients and individuals with disabilities and a staggering 37.2 per cent was made up by the elderly.

“If ways are not found to curb this increasing trend soon, public resources face being drained,” she said. Indicative of the escalating trend is the fact that by the end of January this year, 2,416 new applications had already been filed, said Papasavva.

She said the budget for this year’s public assistance benefits had reached the astronomical amount of £57,348,000. It is estimated that £1 million of this amount is spent on foreigners and political asylum seekers.

“The number of people eligible for public assistance is constantly increasing,” Papasavva warned. “Ways must be found to reduce these numbers as well as to keep track on who is receiving financial assistance so that this benefit is not being taken advantage of by people who are ineligible.”

She said hiring more permanent staff to carry out checks in each district was one step that had to be taken, as well as developing programmes to help younger members of society support themselves.

“These programmes are designed to help train young people in various skills so that they can become financially independent. This way, they will rely on their employment for money and not on the state,” she said. Those eligible for such programmes would include people with minor disabilities or the long-term unemployed.