Raise in child benefit to cost more than EUR 5 billion shows assessment
The raise in the monthly child benefit to PLN 800 (EUR 177) from PLN 500 (EUR 111) will cost the Polish government more than PLN 24 billion (EUR 5.3 bln) in the first year, a legislation impact assessment indicates.
According to the assessment, "the cost of the implementation of the changes will increase the expenditure of the state budget by PLN 24 billion in 2024, while a decrease in subsequent years is expected due to a decline in the population of children aged 0-17 as a result of drops in the birth-rate."
The cost in the following year is estimated at PLN 23.66 billion (EUR 5.2 bln).
The government estimates total expenditures over the next 10 years to reach close to PLN 240 billion (EUR 53 bln).
The legislation assumes that the total number of eligible children in 2024 will reach close to 6.7 million and fall to almost 6.6 million in 2025 and then to 6.4 million in 2026.
The new child benefit amount will come into effect on January 1, 2024.