West Bengal DA Hike: Mamata Banerjee Govt Announces 4% Increase in Interim Budget Ahead of Assembly Polls
The Mamata Banerjee-led West Bengal government has announced a 4% hike in dearness allowance (DA) for state government employees, offering partial relief amid rising inflation. The announcement was made by Finance Minister Chandrima Bhattacharya while presenting the INR 4.06 lakh crore interim budget for 2026–27 in the state assembly on Thursday, February 5.
New Delhi, February 5: The Mamata Banerjee-led West Bengal government has announced a 4% hike in dearness allowance (DA) for state government employees, offering partial relief amid rising inflation. The announcement was made by Finance Minister Chandrima Bhattacharya while presenting the INR 4.06 lakh crore interim budget for 2026–27 in the state assembly on Thursday, February 5.
The DA hike comes just months ahead of the state assembly elections and is expected to benefit a large section of government employees and pensioners. However, employee unions continue to demand DA parity with central government staff. DA Case: Good News for West Bengal Government Employees, Supreme Court Orders State To Pay 25% of Pending Dearness Allowance.
Supreme Court Order on DA Arrears
The announcement came on a day when the Supreme Court of India directed the West Bengal government to pay 25% of pending DA arrears for the period 2008–2019 by March 6. The top court ruled that dearness allowance is a legally enforceable right and not a discretionary benefit, stressing that DA is essential to shield employees from inflation and ensure a minimum standard of living. 8th Pay Commission: Why Is DA Hike for January 2026 Likely To Be Only 2 Percent?
Other Key Allowance Announcements
Apart from the DA hike, the interim budget proposed:
• INR 1,000 monthly increase in allowance for ASHA and Anganwadi workers
• INR 1,000 monthly pay hike for civic volunteers and Green Police personnel, with an allocation of INR 150 crore
• Launch of Banglar Yuva Sathi, a scheme offering INR 1,500 per month to unemployed youth aged 21–40 for up to five years
With the DA hike and the Supreme Court’s clear stand on arrears, dearness allowance is set to remain a major political and economic issue as elections approach under Chief Minister Mamata Banerjee.
(The above story first appeared on LatestLY on Feb 05, 2026 07:28 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).