Budget Slashes LPG, Internship Funds: Poor Families, Youth Feel Pinch

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AuthorVihaan Mehta|Published at:
Budget Slashes LPG, Internship Funds: Poor Families, Youth Feel Pinch
Overview

The Union Budget 2026-27 presents deep cuts to crucial welfare programs. Funding for providing LPG connections to impoverished families has been slashed by nearly 28%. Additionally, the PM Internship Scheme faces a significant reduction, with its allocation dropping from a revised Rs 526.39 crore to Rs 4,799.96 crore, signaling potential implementation hurdles. Meanwhile, allocations for women and child development schemes see increases.

LPG Scheme Funding Reduced

The Union Budget 2026-27 has significantly reduced funding for the scheme aimed at providing clean fuel to poor families. The allocation for LPG connections for Below Poverty Line (BPL) families has been cut by approximately 28%, dropping from the revised estimate of Rs 12,736 crore for 2025-26 to Rs 9,200 crore in the 2026-27 budgetary estimate (BE). This scheme is vital for shifting BPL households from traditional fuels like firewood and cow dung to cleaner cooking gas.

Internship Program Faces Funding Shake-up

The Pradhan Mantri Internship Scheme, launched in Budget 2024-25 to offer practical experience to 10 million youth, also sees a stark budget adjustment. After a revised estimate of Rs 526.39 crore for 2025-26, the BE for 2026-27 now stands at Rs 4,799.96 crore. While this represents an increase from the revised figure, it falls below half of the initial Rs 10,831.07 crore allocated in the 2025-26 general budget, indicating possible operational challenges or scaled-back ambitions for the program.

Social Welfare Allocations Increase

In contrast to these cuts, the Union Ministry of Women and Child Development's overall budget has seen a substantial increase of 15.6%, rising to Rs 28,183 crore for 2026-27. Key schemes under this ministry show robust growth. Saksham Anganwadi and Poshan 2.0 received an increase of Rs 2,150 crore, while Mission Vatsalya is set for a 40.9% boost. Mission Shakti, focused on women's safety and empowerment, is slated for a significant 60% increase. These expansions suggest a re-prioritization of government spending within the social sector.

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