The government was doing its utmost to change the perception of poverty among the Maltese, which could have been exacerbated by the new water and electricity rates, Prime Minister Lawrence Gonzi said yesterday.

He was referring to a recent EU survey which found that 61 per cent of Maltese struggled to make ends meet, especially when it came to paying the utility bills.

Nearly 65 per cent felt poverty in Malta had increased over the previous year, with almost 28 per cent saying it had risen "strongly".

Dr Gonzi said more than 30,000 families received social benefits to cushion the impact of the increased water and electricity rates while the government allocated €10 million this year to further absorb the hike. He referred to another EU report published last January - "a factual one, not based on perception" - which indicated that 15 per cent of the Maltese population was at risk of poverty.

That report also revealed that Malta had a very strong social network and the number of those at risk of poverty was halved through Malta's social benefits and support, Dr Gonzi said.

He admitted that most Maltese had been impacted by the increases in water and electricity bills and this also affected their perception.

"The issue here is certainly the perception and I can understand it as the utility tariffs hit everybody," Dr Gonzi said. This meant the government would have to continue working to make sure all the benefits generated from economic growth would eventually filter down, especially to the vulnerable groups, he said.

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