New bill introduces significant changes to Cyprus child benefits

A new bill submitted to the Cypriot Parliament introduces major reforms to the child benefit system, focusing on increased financial support for lower-income households and expanded eligibility criteria. Phanos Kouroufechis, a senior officer at the Welfare Benefits Management Service, stated that income thresholds for eligibility will rise by approximately 40% across all categories, significantly broadening the pool of potential beneficiaries.

The proposed changes include specific adjustments for different family sizes. For instance, the income threshold for a family with one child will increase from €49,000 to €69,000. Families with two children will see their limit rise from €59,000 to €74,000, while the threshold for families with three children is set to increase from €64,000 to €90,000. Kouroufechis emphasized that maintaining eligibility is crucial because it serves as a gateway to other state services, such as nursery fee subsidies, which can reach an average of €200 per month per child.

These reforms are designed to mitigate the impact of the rising cost of living. By adjusting the income limits, the government aims to ensure that more families qualify for essential state support. The bill is currently under parliamentary review, following which its implementation is expected to provide substantial relief to eligible households by securing access to broader welfare resources.