After a $6 million overspend on last year’s financial assistance allocation, the Bermuda Government has significantly upped its initial estimate for 2016-17.

Finance minister Bob Richards unveiled his Budget yesterday, setting aside $50.1 million towards financial assistance for the coming fiscal year.

This is a large increase on the 2015-16 figure of $46.1 million, which was revised to $52.1 million owing to Bermuda’s widespread financial difficulties.

It represents the continuation of an escalation of spending on financial assistance, with the figure consistently growing since $22.6 million was spent in 2008-09 (see graphic).

Charity figureheads tentatively applauded the Government’s acknowledgement that more Bermudians needed monetary support than it first realised.

Sandy Butterfield, co-founder of addiction charity Focus, helps to budget the financial assistance cheques of live-in residents after they have completed a drug and alcohol treatment programme.

She said: “Every day, I wonder how the Department of Financial Assistance is managing with the number of people who now need its help.

“People who would never have gone on financial assistance before, because of pride, now they just have to.

“I’m glad the figure has been bumped up for this year.”

Sheelagh Cooper, from the Coalition for the Protection of Children, said she was also witnessing more and more people seeking financial assistance.

She added: “I know there’s a general feeling out there that this government is not listening to the people, but I’m pleased to see that in this case they have recognised that there is an increased need.”

Charles Jeffers, director of Age Concern, expressed his desire that senior citizens would benefit from the hike. He said: “It would be interesting to see how much of that money actually went to seniors to assist them with their living expenses.

“I can only hope that this budget increase takes into consideration that there are seniors who need help with medication and health insurance premiums.”

Major Frank Pittman, divisional commander of The Salvation Army, called the move “commendable”, despite seeing his own organisation’s funding cut by $50,000 in the new Budget.

“My concern was [Mr Richards’s] comment that the recession is over,” he said, “and yet there’s an increase in social spending and cuts to charities which are out there trying to help people.”