Child benefit in Cyprus expanded. 17,000 more families to receive support

Child benefit in Cyprus is expected to cover approximately 17,000 additional families and over 23,000 children. President Nikos Christodoulides announced on Sunday an increase in income thresholds and the benefit itself. The largest change applies to families with three and four children – the limits will increase to €90,000 and €100,000 of annual income, respectively.

The government is also expanding subsidies for nursery and preschool fees for children up to 4 years and 4 months old. Approximately 2,000 additional families and 2,800 children are expected to benefit from this part of the changes. However, not all details of the reform are yet known – Sunday's announcement did not provide new benefit amounts or new limits for families with one or two children.

The biggest change for families with three and four children

Until now, the maximum annual income entitling you to Child Benefit was:

• 49,000 euros for one child,
• 59 thousand euros with two children,
• 64 thousand euros for three,
• 69,000 euros for four.

Families with five or more children have no upper income limit from 2025.

After Sunday's decision, the threshold for a family with three children increases from 64,000 to 90,000 euros, i.e. by 26 thousand euros. In the case of four children, the increase is even greater – from 69,000 to 100,000 euros, i.e. by 31 thousand euros.

The change is therefore particularly important for the middle class. A family with three children, who, with an income of, say, €70,000, were previously outside the system, will now fall below the €90,000 threshold after the new rules come into effect.

Similarly, in the case of a family with four children and an income of, for example, EUR 85,000, it currently exceeds the threshold of EUR 69,000, but under the new rules it will be within the limit.

No more losing your entire benefit after a small raise

The government also wants to change one of the most criticized elements of the current system.

Until now, even a small excess over the income threshold could mean a complete loss of benefit entitlement. Christodoulides announced that the reform aims to eliminate this "cliff edge."

The President has not yet presented the exact mechanism for gradually reducing the benefit, but he noted that a small increase in income will no longer automatically result in a complete cut-off of aid.

This could be as important a change as raising the limits themselves.

The benefit itself will also be higher

Christodoulides also confirmed increasing the amount of Child Benefit.

However, it has not yet announced new rates or payment schedules. The current benefit amount depends on both family income and the number of children, so further regulations or guidance from the Welfare Benefits Administration Service will be needed to accurately calculate the new amounts.

Therefore, it is not necessary to provide specific new amounts at this stage, because the government has not officially announced them yet.

Another 2,800 children with kindergarten subsidies

The reform also includes a program of subsidies for childcare fees for the youngest children.

Children's program for 4 years and 4 months is to be expanded by approximately 2,000 families and 2,800 children.

The current program allows you to cover up to 80% of your monthly payments, and the additional payment can range from 75 to 350 euros per month per child, depending on income and number of children.

The government has already allocated around €23 million for programmes supporting pre-school education in the 2026/27 school year.

Can Poles living in Cyprus receive benefits?

Yes – Child Benefit is not a benefit reserved exclusively for Cypriot citizens.

Official rules provide for the possibility of obtaining the benefit also by citizens of other EU countries, including Poles, if they meet the program conditions.

One of the basic criteria is legal and continuous residence for at least five years prior to submitting the application. Importantly, under the current rules, a period of residence in another EU country may be included towards this requirement.

For families with up to four children, the current regulations also provide for a property criterion - the total value of real estate, deposits, shares, bonds and other assets cannot exceed 1.2 million eurosFor families with five or more children, this limit does not apply.

The president's Sunday announcement did not announce any changes to this criterion.

17,000 new families, but we are waiting for details

According to government estimates, after the changes, the system will include approximately 17,000 additional families, and the number of children covered by the benefit will increase by more than 23 thousand

This is one of the biggest changes to the Child Benefit system in recent years.

However, the most important details still need to be published: the new rates for the benefit itself, increased thresholds for families with one and two children, the precise mechanism for phasing out the assistance, and the rules for applying the new criteria to people who were not previously eligible for the program.

CYPRNews will return to this data once detailed guidelines are published.

Sources: Presidency of the Republic of Cyprus, Welfare Benefits Administration Service, Deputy Ministry of Social Welfare, CyLaw, Cyprus News Agency