The Nationalist Party published its pre-budget document on Thursday, with party leader Bernard Grech saying it was focused on improving the people's quality of life. 

Speaking at a press conference, Grech said that the document was a continuation of the last electoral programme and if implemented could make a difference in people’s lives. 

“Our country needs to work harder to eliminate poverty and the cost of living crisis cannot be allowed to continue having this devastating impact on our most vulnerable,” he said.

“We also cannot be happy with giving people the bare minimum of assistance,” he continued. We must put quality of life at the centre of our politics.”

Opposition spokesperson for finance Jerome Caruana Cilia said that the proposals are structured around six main pillars: cost of living assistance, business development, Health, work and education, the environment as well as justice and good governance.

Assistance to employers as COLA rises

The wide-ranging document says the current Cost Of Living Adjustment (COLA) mechanism should be used for the current budget and there should be no changes without agreement with the social partners.

But with the wage adjustment expected to be in the region of €10 weekly, the government was urged to help employers through fiscal incentives so as to ensure that the private sector remains competitive.

The party says there should be mature discussion about the COLA mechanism with a new second mechanism for compensation for the cost of living for those most vulnerable (A similar scheme was launched by the finance minister last week).

The PN document also says that: "The whole COLA increase and not merely part of it, should be given to those who had no increase given to them through collective agreements."

The party also calls for talks within the Malta Council for Economic and Social Development "to link certain increases in labour costs with productivity gains".

On housing, the document says "Apartment-building, especially big complexes can benefit from a bigger density from that normally permitted until 30% of the accommodation is rented as social accommodation." No explanation is given. 

VAT exemptions for home energy improvements

The PN also proposes that every homeowner should be eligible for a VAT refund of €3,000 per year to make the home more energy efficient and lower the carbon footprint. The grant will rise to €6,000 for families that include pensioners or people with disabilities.

Separated and divorced couples should be eligible for the first-time buyers tax refunds once again, the party adds. This should also apply to separated or divorced people who have to move out and buy a new place.

All medicines for pensions should be free

On the quality of life of pensioners, the PN repeats the call for a retail price index for pensioners and the possibility of giving more than one cost of living allowance to the elderly every year.

The PN also calls for all medicines prescribed by doctors to pensioners to be provided for free by community pharmacies.

On energy, the party calls for better incentives for people to instal renewable energy equipment and buy electric vehicles.

It also says the government should start the process to fully liberalise the electricity distribution network by 2027.

When it discusses family policies, the PN proposes, among other things, that  in the case of single fathers with children, alimony and other child-related payments should be tax free. 

The party also makes proposals for a better work-life balance including extending paternity leave, payment during parental leave for both parents (including the self-employed) financial support for grandparents who help in the upbringing of grandchildren and a fixed tax rate of 10% for part-time and overtime work.  

Read the document in full by clicking on the pdf below. 

Attached files

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