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Effective January 1st 2027, recipients of a number of grants issued by the Ministry of Social Development and Family Services will benefit from a $250 increase, however during the Standing Finance Committee's budget examination today it was revealed that funding for a number of the respective line items has been reduced for fiscal 2027. Rynessa Cutting has more.

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00:00Senior Citizens Grants, Public Assistance Grants and Disability Grants will see an increase of $250 each come January 1st,
00:09a measure which is expected to cost the state in excess of $500 million annually.
00:15However, the budget figures for fiscal 2027 show a marked decrease for these line items.
00:22Honourable Minister, line item 00708 Disability Grants, there is a decrease allocated in this fiscal by $73 million.
00:35It has reduced from $621 million to an average of $547 million.
00:41How do you account, one, for the decrease in this fiscal in light of the indication that all recipients would
00:49be increased there at their monthly grant,
00:52would be increased by $250, which would mean that they would need to have more monies available to spend?
00:59The same question arose for the Public Assistance and Senior Citizens Grants.
01:04How is the reduced sum going to meet the increase in the grant, as stated by the Minister of Finance?
01:19Is there also going to be a change to the means test?
01:26And could I also ask what measures will the Ministry implement to ensure that the reduction doesn't adversely affect those
01:40persons who are now receiving the grant
01:44and those persons who will be coming on?
01:47However, Minister Vandana Mohit is giving the assurance that all beneficiaries will receive their payments
01:54and on time.
01:56No recipient will be affected.
02:00In addition to that, there are some challenges faced by the Ministry with the Social Welfare Division
02:09and the data, which I shared recently, in terms of inaccurate information, causing some wastage within the Division.
02:20Millions of dollars in wastage.
02:23We are cleaning up that in simple terms.
02:27And as I indicated before, we are trying to also clear the backlog.
02:33However, if there are any challenges, one thing I'm sure about is we'll ensure that recipients are paid on time
02:43every month.
02:44And if there are any challenges, as we have done in the last fiscal year, we'll work hand-in-hand
02:50with the Ministry of Finance,
02:51who has been very cooperative with us, to ensure that all our grants are paid.
02:56Renasa Cutting, TV6 News.