Malta Finance Minister defends 2027 Budget measures for foreign workers

Malta Finance Minister Clyde Caruana has defended the 2027 Budget measures targeting third-country nationals (TCNs), stating they aim to address economic imbalances caused by businesses relying on low-paid foreign labor. Caruana argued that some companies retain profits while the public bears the costs of population growth and pressure on infrastructure. The new budget includes higher work permit fees, charges for childcare, and monthly fees for public transport or driving for certain TCNs.

The budget has faced significant criticism. A joint statement from 24 Maltese civil society organizations condemned the measures as a “shocking leap towards a country that officially segregates people on the basis of their nationality,” arguing that forcing TCNs to pay for services that are free for others is unjust and potentially violates EU non-discrimination laws. Additionally, business lobbies have warned of potential economic fallout from the changes.