Expenditure on social security benefits rose by 6.3 per cent between January and September, driven mainly by outlays on pensions in respect of retirement, pensions in respect of widowhood and the contributory bonus.

The National Statistics Office said that total expenditure on social security benefits amounted to €533.7 million during the period, up by €31.7 million over the comparative period last year.

This reflected mainly higher expenditure on contributory benefits, amounting to €28.1 million. Non-contributory benefits rose by €3.6 million.

The increase in contributory benefits was essentially the result of an €18.7 million growth in pensions in respect of retirement, which totalled €262.5 million. This increase was underpinned by the outlay on the two-thirds pension, in part reflecting a rise in the number of beneficiaries.

Invalidity pensions declined by €1.6 million, while benefits relating to industrial injuries declined marginally. Widowhood pensions increased by €4.2 million.

The outlay on non-contributory benefits increased by €3.6 million over the corresponding period last year. Most of the increase in this category was attributed to a €2 million rise in social assistance.

Old age pension and medical assistance rose by €1 million and €0.7 million, respectively, while children's allowance and supplementary assistance declined by €0.8 million and €0.2 million, respectively.

Expenditure on social security benefits during the third quarter amounted to €157 million, an increase of €9.3 million compared to the corresponding quarter last year.

Contributory benefits added €9 million while non-contributory benefits went up by €0.3 million.

The two-thirds pension made up €6.6 million of the increase in the contributory benefits. The increase in the non-contributory benefits resulted from higher expenditure in respect of the old age pension (+€0.4 million).