The European Union said Monday it has begun paying social allowances to 40,000 needy Palestinian families through a temporary funding program overseen by the World Bank that bypasses the Hamas-led Palestinian government. The funding, at the outset of Ramadan, comes on top of spending for 11,500 health workers who are no longer paid and pensioners, the European Commission said in a statement. It added the needy families - identified from those who received social welfare from the previous Palestinian government - will receive US $346 each.