The much-awaited budget speech will be delivered this evening in Parliament by Finance Minister Edward Scicluna.

Ahead of this evening’s speech, we take a look at what we think are some of the most interesting proposals that have been put forward by the Opposition, the social partners and the NGOs.  

Perhaps one of the proposals that would be welcomed by all is the PN’s call for a revision of income tax rates. The PN has argued that the maximum tax rate of 35% is, by today’s standards, a bit high.

The PN has also proposed increased investment in skills that are not necessarily university based, particularly trades such as electricians, plumbers and skilled construction workers, as these are in short supply.

From a social aspect, it has proposed the setting up of a task force to combat domestic violence, and has also suggested giving local councils a more prominent role in administering social affairs within their locality.

Both the Chamber of Commerce and the UHM – Voice of the Workers have come up with interesting suggestions on how to use money coming from the controversial IIP programme.

The chamber has suggested using the funds to finance a holistic transport strategy to shift towards a sustainable and effective multi-modal transportation system. We believe that, at this juncture, an efficient mass transport system is a must.

The UHM, on the other hand, has suggested that money from the programme should be used to provide zero interest loans to low income families to help them pay the required deposit in order to get a normal house loan from commercial banks.

While we have always criticised the IIP, for we are against the concept of selling citizenship, especially when due diligence has been weak, the money generated should at least be used for something useful. Both proposals are very interesting.

The UHM also proposes a VAT exemption or refund on a list of products and services considered essential for pensioners today.  

The National Council for the Elderly has proposed that no income tax should be paid on pensions, as well as adjustments to pensions and the addressing of certain anomalies. It also proposed that the ETC create job opportunities for those elderly who wish to continue working.

On a similar theme, the General Workers Union has called for pension adjustments to the maximum pension in its proposals for the upcoming budget. The government has already adjusted the minimum pension amount, but it should now also address the higher end.  

The MUMN has said that parents should be given time off to care for sick children, without the parent running into hardships at work because of it. It has also explained how the system could work properly, reducing the possibility of abuse.

On the environmental front, Din L-Art Helwa has come up with a very interesting proposal for the provision of funds for the planting of trees in front gardens, in hopes of increasing trees or at least making up for ones that have been destroyed.

It is also calling for funds for local councils to create master plans for their urban historic cores, and for the renewal of the Irrestawra Darek scheme, which would hopefully see more old houses restored, rather than bulldozed and replaced with a block of flats.

 Flimkien Ghal Ambjent Ahjar (FAA) has called on government to include fiscal incentives for individuals and entities who acquire, make, install and maintain green roofs, vertical garden infrastructure and innovative eco cleaning devices. It is also proposing the exemption of VAT for services which are carried out and/or paid for by fully compliant NGOs, such as for NGOs restoring the country’s heritage.

 The Malta Developers Association has called for the creation of a long-term plan for the “beautification” of Malta. We strongly support a plan for the beatification of the country but it is very likely that we have a very different understanding of the word.

One more serious note, MDA has proposed better training and pay for construction workers, both of which are sorely needed, as well as the creation of a foundation working in PPP with the government to provide apartments which would be rented for €300 to €400 a month. This would be very helpful for low-income and single-parent families who are being pushed into poverty by the skyrocketing rental prices.