During the meeting, Dr Gonzi gave a detailed explanation of the implementation of the bill to CMTU president Alfred Buhagiar.

The confederation expressed its concern over the way it believed the tax could hit the consumer, and the effect it will have on workers and pensioners. It said it would be monitoring the issue through its representative on the Retail Price Index board.

Mr Buhagiar said he hoped government would monitor the situation to ensure that no one abused the system and raised prices more than they should.