Evaluation of the non-contributory schemes in Malta

Abstract

Non-Contributory schemes are part of the State's social security system in Malta. They were first introduced in 1948 by the Old Age Pensions Act, and later on, strengthened by the introduction of the National Assistance Act of 1956. Their aims have been principally the provision of direct assistance to individuals or households from public funds. This study first describes the non-contributory pensions, allowance and assistances falling initially under the aforementioned two acts, and, subsequently, under the Social Security Act of 1987. The period covered by the evaluation is 1974 to 1988. An evaluation of the weekly rates and scale rates (the latter where applicable) of the non-contributory benefits is presented next. The study also analyses the trends, in terms of number of recipients and of expenditure, of each type of benefit, and probes into the provisions of the various means tests where applicable. Finally, projected targets for beneficiaries and costs up to 1995 are introduced and assessed. A review of the Gap in Welfare Expenditure concludes the study.