Issue link: https://maltatoday.uberflip.com/i/1510993
15 maltatoday | SUNDAY • 5 NOVEMBER 2023 BUDGET2024 Will Clyde manage to calm the waters of Labour disgruntlement? JAMES DEBONO THE budget appears to target the most pressing concerns of non-vot- ers, specifically lower-middle-class Labour supporters aged between 36 and 55, who have dependent children. This is achieved through focused measures such as the doubling of re- cipients of the additional cost of living adjustment and the substantial raise in children's allowances. However, it remains to be seen whether the €350 million allocated for energy expenses and subsidies will have any impact on relatively more affluent non-voters, particularly those without children. Despite feeling a pinch in their pock- ets, this group may not see a signifi- cant cash injection from the budget. The October MaltaToday survey indicated that the cost-of-living ranks as the top concern among non-voters, with 36% of respond- ents highlighting it as their main worry, surpassing other pressing is- sues such as foreigners (30%). More- over, a significant 49% of non-vot- ers reported a deterioration in their personal finances, while only 10% experienced improvement. The impact on struggling families The survey also identified a sub- stantial number of non-voters among those aged 36 to 55, with 45% in this age group expressing their intention not to vote in the next election. These individuals are more likely to struggle with rais- ing children while dealing with the challenges of rising inflation. In this context, the substantial increase in children's allowance, set to rise by an annual €250 per child in addition to the previous year's €90, could help alleviate the discontent among this demographic. Furthermore, the government has introduced a "spe- cial" allowance of €500 per year for three years, if the children continue to live with their parents and are full-time students. These specific measures are not means-tested, benefiting a broad spectrum of the Maltese middle and working class. Additionally, 95,000 households with incomes below the national median will receive extra cash ranging from €100 to €1,500 per year, depending on the number of children they have. The number of beneficiaries for this benefit will nearly double when compared to the previous year, when it was limit- ed to those earning less than the av- erage income. These measures sup- plement a COLA increase of €12.80, the highest ever. PAGE 16 Finance Minister Clyde Caruana presented the second budget of this legislature with a heavy emphasis on supporting low-income earners in the face of rising inflation