Ahead of today’s national budget, Prime Minister Robert Abela announced that the new budget measures are aimed at strengthening families and ensuring they have the support needed to thrive. Emphasising stability, social investment and long-term planning, the Prime Minister said the upcoming budget will reflect Labour’s vision of a government rooted in responsibility, unlike the PN’s empty promises.

This year’s government budget puts families front and centre, recognising them as the cornerstone of national progress and social stability. Prime Minister Robert Abela said the new measures will focus on giving families the tools and support they need to thrive, underlining that strong families mean a stronger Malta.

Closing the 2025 Labour Party Annual General Conference, Prime Minister Abela revealed several key initiatives: higher pensions, new grants for small businesses, stability in electricity and fuel prices, increased children’s allowances, and most importantly, no new taxes. He said the budget aims to improve living conditions for all families because a strong family is a guarantee for the future.

The budget will also feature record social spending and fresh investment in Malta’s digital economy. Prime Minister Abela explained that this shift towards technology and artificial intelligence will help the labour market move away from labour-intensive processes.  The International Monetary Fund (IMF) expects Malta to remain the Eurozone’s fastest-growing economy until 2030.

The government’s proposals are designed to ease financial pressures and strengthen household stability, from pension increases to children’s allowance adjustments. By keeping taxes steady, the budget prioritises growth while protecting people’s incomes.

Prime Minister Abela stressed that strong family foundations shape the next generation, fostering values, stability and resilience, the building blocks of national progress. By investing in families today, the government aims to build a brighter, more stable tomorrow.

He also affirmed that the government’s competence in economic management is crucial for Malta’s success. Referring to the Nationalist Party and their failure to publish a pre-budget document, he questioned their competence in managing the country’s finances. Under the previous Nationalist administration, he noted, Malta’s debt-to-GDP ratio climbed to 70%.  In contrast, Labour has reduced it to 47%, keeping within European Commission targets. Over the past three years, government support on electricity and fuel bills has saved families an average of €6,000 annually.

Prime Minister Abela warned that the Nationalist Party could not sustain the wage increases introduced under Labour and dismissed their promises as unrealistic and unfair. Citing Finance Minister Clyde Caruana, he said the PN’s pledges would cost around €600 million, yet no feasibility study has been produced to explain how they would be funded.

He reaffirmed that Labour remains focused on responsible, long-term planning rather than short-term promises. On planning reform, the Prime Minister confirmed that consultations with key organisations are ongoing and rejected claims that a recent cabinet meeting was haphazard, clarifying that the issue was only briefly discussed.

“Families are the backbone of our society and the key to a prosperous future,” the Prime Minister said. By strengthening families today, the Government is preparing a nation that can face tomorrow’s challenges with confidence.

This year’s budget sends a clear message: supporting families means securing Malta’s future.