Budget 2022 | COLA increase set at €1.75

Finance Minister announces government intent to draw up a new mechanism for families vulnerable to inflation

Employees will be seeing a €1.75 weekly increase through the Cost of Living Adjustment (COLA), the Finance Minister Clyde Caruana announced.

This compensation will be granted to workers, pensioners, students and those on social benefits.

Student stipends will also be increasing pro-rata.

Caruana also said the time has come for government to protect families vulnerable to inflation.

He said government will be meeting with stakeholders in the sector to draw up a new mechanism which works independently from the COLA when inflation rises sharply.

The minister said the burden will be shouldered by government.