Prime Minister Robert Abela has just announced that students, workers, pensioners and people on social benefits will all be receiving an additional stimulus cheque to compensate for the rising cost of living brought about by the COVID-19 pandemic.
Speaking in Marsaxlokk together with Finance Minister Clyde Caruana, the Prime Minister gave details of how the new stimulus cheque will be sent to families together with the newly increased tax refund cheque.
It is estimated that the new stimulus cheque will reach around 380,000 people.
How will it work?
Workers and students will receive a €100 cheque.
Pensioners and people on social benefits will get a €200 cheque.
In addition to the stimulus cheque, 250,000 people will receive another cheque with a higher tax refund, as announced in this year’s Budget.
People subject to single tax rates will get a refund ranging between €60 and €125.
People falling under the married rates will get a €65 – €140 tax refund.
Parents will receive a tax refund of not less than €60 and not more than €135.
This means that families where both adults earn the minimum wage will receive a total of €470 which includes a tax refund of €270 and €200 as a stimulus cheque.
A family of two pensioners will receive €400 in total.
Through the tax refund scheme and the new stimulus cheque, Government will be investing 70 million to help families recover from the effects of the pandemic, including the rising cost of living.
Prime Minister Abela said that Government is committed to introducing a new Cost of Living mechanism for low-income people. However, it felt that it couldn’t sit back and wait for discussions to end, but felt the need to help families now.
“We will remain the Government of incentive rather than austerity. As I told you when the vouchers were issues, as soon as you receive these cheques, go and enjoy them with your families,” the Prime Minister said as he forecasted a good spring and summer for Maltese families.
“Some thought that this Government would lose its dynamism as more challenges emerged. That we will reach the end of the breathless COVID marathon. Today we are confirming what we had said months ago. We are the only guarantee for the success of our country.”