West Bengal hikes Lakshmir Bhandar allowance, raises pay for ASHA, anganwadi workers ahead of polls

Kolkata: The West Bengal government announced hefty hikes in allowances to women and incomes to civic volunteers, asha and anganwadi workers ahead of the assembly elections in which the ruling Trinamool Congress will seek re-election for the fourth time in a row.

The announcements were part of the customary vote-on accounts for FY27 placed on Thursday by the Mamata Banerjee government. A 4% rise in dearness allowances (DA) for state government employees has also been announced at the assembly even as the Supreme Court earlier in the day ruled that the state has to clear 25% pending DA immediately.

The apex court has also directed the state to form a committee for implementing a phased wise clearance of pending DA and submit a report to it.

The government Thursday presented a Rs 63 crore deficit budget for the fiscal 2027 while the revenue deficit is budgeted at Rs 21759 crore.

The revenue deficit for FY26 however revised upwards to Rs 41164 crore from the budgeted Rs 35315 crore.

Among the big announcements was the Rs 500 rise in monthly allowance to state’s women under the government’s flagship Lakshmir Bhandar scheme. Women from the general category will now get Rs 1500 per month while women from scheduled tribes and scheduled caste categories will get Rs 1700 a month.
Finance minister Chandrima Bhattarcharya allocated an additional Rs 15000 crore for this scheme over Rs 17000 crore spent in FY26. A massive 2.4 crore women between 25 and 60 who do not hold a government job get this monthly dole.The government has proposed Rs 1000 raise to monthly income of asha workers, anganwadi workers, para teachers and civic volunteers, a large section of whom are considered to be Trinamool sympathisers. This is proposed to be coming into force from April. These workers typically earn anything between Rs 8000 and Rs 12000 a month.

A compensation of Rs 5 lakh for the nearest kin has also been announced in case of death of these workers while working.

While the state runs 94 social protection schemes, opposition leaders often criticised the Mamata Banerjee government for doling out several non-productive allowances.

Amit Mitra, principal chief advisor to chief minister and the finance department, however said Thursday that the money spent is being used for asset creation.

“More than 1.72 crore people have been brought out of poverty. Implementation of 94 social protection schemes have provided security to our people in life and livelihood,” Bhattacharya said at the state assembly.

She said that more than 2.5 crore jobs have been created in the state in private sector, public sector and self employed. Nearly 93 lakh MSMEs, the second highest in India, operate in West Bengal, contributing 36.40% of female MSME entrepreneurs of the country.

She announced an extension of exemption of agricultural income tax on green tea leaves for another year till March 31, 2027 The exemption of cess on tea production is also extended.