“These are two measures...this government is proud of,” Prime Minister Giuseppe Conte told reporters after the cabinet signed off on the legislation.

“This is a government that keeps its promises.”

The reforms, which provide income support for the poor and allow people to retire earlier, will now need to be approved by parliament within two months.

The changes, which will take effect from April for private sector workers and August for state employees, will cost €4 billion this year and just over €8 billion in 2020.

Critics claim the new reforms are unsustainable for Italy’s strained public finances and that lowering the retirement age isn’t viable due to the nation’s large public debt and ageing population.

Who will benefit?

Only Italians and EU immigrants can benefit from the scheme.

Non-EU immigrants must have lived in Italy for more than 10 years to be eligible.

A family of two adults and a child can receive up to €1080, while a family of two adults and three children is eligible for up to €1280.

The scheme will provide financial support of up to €780 per month to each person in a household living in a rented place and with no other source of income.

€150 of this sum needs to be used to pay rent or a mortgage.

If a person does have an income that’s below €780 per month, the scheme will top up to this sum, considered the poverty line for a single person paying rent.

Single people with more than €6000 in savings will not benefit from the scheme.

Under the new rules, people will also be able to retire when the sum of their age (62) and the years of their pension contributions (38) adds up to 100.

How will the money be handed out?

Those eligible will receive a debit card, which will be loaded with the money at the beginning of each month.

Any remaining money on the card at the end of the month will automatically expire.

What are the conditions?

Those receiving financial support and who are able to work must do eight hours of community service per week, attend training courses, and accept one of the three jobs proposed to them that matches their qualifications.

The income can only be received continuously for 18 months, after which a new application must be submitted.

Anyone found guilty of frauding the system will face up to six years in jail.