Social Support Bill Sparks Budget Concerns

TDT | Manama

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The proposal aimed to bring all forms of government assistance under one umbrella law.

From cost-of-living allowances and food support to housing aid, fuel subsidies, education grants, and even electricity and water assistance, everything would be organised into a single national system designed to strengthen social protection. Supporters of the bill saw it as a step toward clarity and fairness.

It would create a structured framework aligned with Bahrain’s Constitution and National Action Charter, with 11 articles and multiple categories of support covering families, pensioners, and low-income citizens.

But as the debate approached, concerns grew inside government circles.

Officials warned that while the intention was clear, the financial impact could be significant.

They argued that the bill would introduce long-term, recurring expenses that could widen the budget deficit and disrupt existing fiscal reform plans.

System

The Ministry of Social Development stressed that the current system was already carefully structured, with clear eligibility rules, income thresholds, and targeted assistance for those most in need.

It also highlighted recent improvements, including unified payment schedules and coordinated support schemes.

The Ministry of Finance echoed these concerns, noting that the state budget already allocates substantial funds for social programmes and that any expansion would require careful long-term financial planning.

A key point of contention was utility support. Government experts referenced a past Constitutional Court ruling, arguing that electricity and water prices are managed as economic services and should not be fixed through legislation in the same way as taxes or fees.

Despite the warnings, parliamentary committees reviewed the proposal and recommended approval in an amended form, keeping the debate alive between expanding social protection and maintaining fiscal balance.