Social and other measures

Social Measures

Cost of Living

The cost of living increase for 2021 amounts to €1.75 per week. This increase will be granted to all employees, to pensioners and to those receiving social benefits. Students’ stipends shall be increased pro-rata.

Measures relating to employment

One additional day of leave shall be added to all employees’ yearly leave balance.

Pensions

Social security pensions shall be increased by €3.25 per week. Thus, together with the cost of living adjustment of €1.75, the increase for pensioners should be €5 per week (€260 per year).

For the purposes of calculating eligibility for a national minimum pension, persons born before 1962 and who do not qualify for a contributory pension will be entitled to add to their total number of contributions any contributions paid prior to the attainment of 19 years of age.

Amendments shall be made to the definition of a widow/er within the Social Security Act to align it to the provisions of the Civil Union and Cohabitation laws.

Similar to previous years, the portion of any service pension which is not to be reduced from the social security pension is being increased by a further €200.

Other Social Measures

A yearly increase in children’s allowance amounting to €70 per child granted to families having annual income of less than or equal to €25,318. Families having annual income of more than €25,318 will be entitled to a yearly increase of €50 per child.
Increase in applicability thresholds for the in-work benefit. For couples in gainful employment, the threshold will increase to €35,000, for single parents, €23,000 and for a couple where only one person is in gainful employment the threshold will increase to €26,000.
Foster Care allowance increased by €520 for a total allowance of €5,720 per year.
A grant of €1,000 will be given to couples who adopt a child locally.
An increase of between €70 to €108 per annum in the supplementary allowance shall be granted to persons who are 65 years and over. The additional supplementary allowance of €150 which was granted to persons who are 65 years and over and who are at risk of poverty, shall be extended to persons within the same age group who qualify for the supplementary allowance.
The bonus for persons who are not entitled to receive a pension will increase by €50 per annum.

Continuance of the grant scheme providing for a €300 grant to persons aged 75 years and over and the €350 grant for those aged 80 years and over, and who live in their home or a private residential home.
Increase in the Carers Allowance from €5,291 to €6,000 per year, together with the widening of the eligibility criteria for the Carers Allowance and the Increased Carers Allowance.
Introduction of a new additional assistance amounting to €300 per year for parents who have to stop working in order to care for children with severe disabilities.
Allocation of €9 million for the continuation of the fund created to cater for inequalities suffered by certain persons in the past (such as port workers).
Re-issue of Savings Bonds for pensioners who are over 62 years of age.

Other Measures

COVID-19 related measures
Governance and Security
Innovation and e-commerce
Health

COVID-19 related measures

Extension of COVID-19 Wage Supplement

The COVID-19 Wage Supplement, will be reviewed by the end of the year and will be extended until at least March 2021.

Government vouchers

Additional €100 Government vouchers to be issued of which €60 to be used for accommodation, hotels and restaurants and remaining €40 at other shops.

Governance and Security

Further reforms to strengthen good governance and the rule of law to ensure national stability, trust in Malta’s institutions and economic growth.
- The newly formed Cabinet Committee on Governance has been charged with ensuring that Malta follows recommendations regarding good governance and the rule of law proposed by the Venice Commission, GRECO and Moneyval;
- The Constitutional Convention, led by the President of Malta, will continue.

The offices of the Attorney General and the State Advocate will be strengthened further, with the creation of additional internal structures, new administrative procedures and added organisation.

Addressing the Moneyval report published in July 2019, Malta presented its reply report to Moneyval on the 5th of October. This shows how Malta has addressed all of the 58 recommendations that were included in the original Moneyval report.

Judicial Reform initiatives will continue to be undertaken.

Programme for the modernisation of the Offices of the Notary to Government and the Notarial Archives which will include the digitisation of notarial records.

Innovation and e-commerce

Various measures and investment geared towards the digital sector including investment in cybersecurity, innovative technologies, e-sports and video game development and in ‘upskilling’ and ‘reskilling’.
Introduction of a framework to make Malta an ideal jurisdiction for start-ups.
Initiatives to facilitate Maltese business to go online.
Malta Enterprise to maintain, improve and introduce measures to assist businesses operating in Malta and to attract new investment.
Malta Enterprise to introduce a new scheme for companies which employ less than 50 people to undergo transformation projects. The scheme will cover a maximum of 50% of the investment capped at a maximum of €200,000 per company. Such aid will be increased by €35,000 in case of collaboration with research institutions.

Health

The Maltese Government, in agreement with the European Union and the European Commission, will procure the COVID-19 vaccine as soon as it is made available in order to safeguard the public health of the community.
The establishment of a Pandemic Reserve to supply resources to help manage the COVID-19 spread in Malta - in particular, financial resources will be allocated for the hiring of additional healthcare facilities to ensure that certain acute care does not cease to be provided.
Introduction of Clinic Management Systems and Telemedicine Client Support Centre. This will facilitate communication between the healthcare professionals and their patients.
Investment in a new blood transfusion centre and a specialised centre to process and store tissue and stem cells.

Sports
Art and Culture
Education

Sports

The establishment of a new authority, Malta Sports Integrity Authority, to ensure fair play and prevent corruption in competitive sports.

The publication of a new act to regulate EquistriMalta.

Art and Culture

Continued investment to restore archeological sites.
Various measures will be introduced to help individual artists and operators in the cultural and ancillary sectors to produce high-quality exhibitions, concerts, productions and similar initiatives.
Exploring and opening new underwater sites.

Education

A strategy for the educational system to reduce the rate of early school leavers and increase the educational levels of adults within the 30 to 34 years bracket.

Free internet subscription for a full year to students continuing their studies after secondary school.

Launching accredited and higher educational online courses for adults and employees to further improve their skills.

Investment in Autism Units in Secondary Schools to create an environment which caters for the needs of students with autism.

Gozo
Construction Industry
Infrastructure
Equality and Reforms
Citizenship

Gozo

Further measures to support Gozo to diversify its economy and reduce its dependency on the public sector and tourism. Various measures to generate further work and employment in Gozo.
Various infrastructural measures including the rebuilding of roads, introduction of smart parking systems and the construction and embellishment of sport facilities.
Measures to improve the connectivity between Malta and Gozo including the introduction of the Fast Ferry service.

Construction Industry

Set up of a new Building and Construction Authority (together with an appeal tribunal) aimed at improving professionalism in the construction industry and to reduce the risk of construction related incidents.
Licensing framework requiring real estate agents, brokers and consultants to be authorised to work in the industry

Infrastructure

Continued investment on the upgrading road network project (in particular the completion of the Central Link Project and Swieqi junction and new projects including the Luqa Junctions Project, Msida Creek Junction, Hal Kirkop tunnels and Airport Intersection Project), and the introduction of the “Safe Cycle Routes Project”.

Completion of various ongoing port infrastructure projects, together with the commissioning of new projects, including the maintenance of existing piers.

Launching of the Grand Harbour Clear Air Project which should help reduce the air pollution at Grand Harbour with the support of a shore side electricity system.

Investment of €450 million over a seven year period to upgrade the industrial infrastructure and creation of new office spaces for business.

Completion of the regeneration plan of the Ta’ Qali Artisan Village.

Investment aimed for further growth in the aviation industry, in particular the renovation of the taxiway Lima project.

Continued investment in healthcare services facilities, including the building a new Outpatients area, underground parking at Mater Dei, modernisation of a number of wards at Mount Carmel Hospital and Public Health Centers.

Equality and Reforms

Incentives to be granted to employers to offer their employees a better work life balance as well as incentives for men to participate further in family life.

Citizenship

Malta will continue to form part of the “Smart Borders” initiative with other European States, to safeguard the European frontiers against organised crime and terrorism. In this respect, Malta is developing new technology infrastructure to keep a record of all individuals entering and leaving Malta

Efforts to review and renew the criteria applied for the acceptance of individuals into programs relating to residency or citizenship by investment, to ensure that the individuals are worthy of citizenship or residence. Further details about this initiative should be available when the new programs are launched.

Tourism
Housing
Agriculture and Fisheries
Wheelchair accessible taxis

Tourism

Government will be launching a strategy for the tourism sector which will include measures to incentivise digital transformation, the promotion of conference and incentive travel and the setting up of a Safe City concept.

Housing

The equity sharing scheme options and the measures relating to social housing and affordable housing will be continued.
The introduction of a scheme intended to enable individuals to regularise their ordinary residence or garages in cases where there are discrepancies between the contract plan and the actual building, thereby removing current obstacles hindering the transfer of such properties.

Agriculture and Fisheries

The introduction of grants equivalent to the tax paid on the sale of products by fishermen and farmers at the fish and vegetable markets.

Wheelchair accessible taxis

A grant of €10,000 upon the registration of new wheelchair accessible taxis.