Cyprus is expanding its child benefit scheme by increasing the amount paid and widening the income criteria, President Nikos Christodoulides has announced ahead of the start of the new school year.
According to the President, the reform will bring around 17,000 additional families into the scheme, while more than 23,000 children are expected to benefit from the expanded support.
Income thresholds raised
In a recorded message, Christodoulides said the reform was aimed at strengthening support for families with children by increasing the level of child benefit and significantly expanding eligibility through higher income thresholds.
The income criteria are being raised for all families, with the maximum income thresholds for families with three and four dependent children now set at €90,000 and €100,000 respectively.
Christodoulides said the changes would also address calls for greater support for middle-class families.
He also noted that, since 2025, families with five or more dependent children have not been subject to income criteria.
17,000 additional families to qualify
The reform will also address what the President described as longstanding distortions in the existing system.
One of the key changes is that support will no longer be withdrawn when a family's income increases by a small amount.
Under the new arrangements, around 17,000 additional families will become eligible for the benefit, while more than 23,000 children will gain access to the expanded support, according to Christodoulides.
The government is also extending its subsidy for childcare fees to children up to the age of four years and four months.
The extension is expected to cover around 2,000 families and 2,800 children, providing additional support to young parents and families.
Government links reform to economic growth
Christodoulides linked the measures to Cyprus's economic performance, saying the country's “strong and growing economy” was allowing the Government to implement targeted policies in education, healthcare and the welfare state.
He said these policies had a “substantial social impact” and were helping to improve citizens' daily lives.
“Our aim and objective is the continuous increase in disposable income by returning the benefits of growth to society,” the President said.
Concluding his message, Christodoulides said: “Through action, we support families, the middle class, and we are changing our Cyprus.”
