Social housing residents who return their home to the state when they move into a nursing home will now be getting a 20 per cent discount. 

The new, voluntary scheme was launched on Monday and will see residents keep 20 per cent of the pension contribution that would previously go towards their care in a home for the elderly. 

“Highly dependent” people living at the St Vincent De Paul residence currently see 80 per cent of their pension cut to go back to the government, parliamentary secretary Roderick Galdes explained. Less dependent residents see 60 per cent of their pension cut.

Participants of the voluntary scheme will now see 20 per cent of their contribution going back in their pockets, he added. 

People who qualify for the scheme are expected to save anything between €1500 and €3000 per year, depending on their pension and contribution.

Speaking at St Vincent De Paule, Dr Galdes said the scheme was an effective way for the elderly to give back.

“If you’re an elderly person who once needed help from [social] housing, think of the people who might benefit now,” he said.

He also emphasised that family members were obliged to maintain the government property while the elderly were in retirement homes.

“The housing authority will take action if we find the property in disarray,” he noted.

Parliamentary secretary for the elderly Anthony Agius Decelis said the scheme can leave more money in the pockets of the elderly.

“The scheme is a strong message that we do not have many resources and that we need to give what we have to others,” he noted.

Social Solidarity minister Michael Falzon said that this shows that the government is working holistically to solve the demographic concerns.

Around 25 per cent of the Maltese population is made up of elderly people, he noted, adding that the figure shows no sign of slowing down.