The Malta Independent 2 September 2026, Wednesday
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Hospitals ruling debate: Government claims vindication, Opposition says people were betrayed

Monday, 10 November 2025, 13:27 Last update: about 11 months ago

A heated parliamentary debate unfolded Monday following the International Chamber of Commerce's (ICC) ruling on the hospitals concession involving Steward Health Care.

While the tribunal rejected both Steward's claim for damages and Malta's counterclaim, the decision reignited fierce political disagreement. During the debate, government MPs hailed the outcome as confirmation that no public funds were stolen, while the Opposition insisted the Maltese people were defrauded and left without the promised healthcare improvements.

Prime Minister Robert Abela opened the debate asserting that Malta paid Steward Health Care for services it actually received, not for the promised redevelopment of St Luke's, Karin Grech, and Gozo General Hospitals. "For every euro paid to Steward, we received the required services," Abela said, insisting that "no theft or fraud" had been found by the tribunal.

The Prime Minister rejected Opposition claims that the Maltese people lost €400 million, calling the figure "an invention." He noted that neither the National Audit Office (NAO) nor the Maltese courts mentioned this sum, and accused the Nationalist Party (PN) of fabricating a higher number - €488 million - "the biggest lie yet."

Abela also rebuffed claims that the government had failed to defend Malta in the arbitration, pointing out that the tribunal explicitly stated that the state had provided adequate evidence and mounted a solid defence. He said the Opposition had refused government briefings on the arbitration process but was now seeking political mileage from it. The Prime Minister concluded by announcing a new master plan for the three hospitals, saying the aim was to "strengthen Malta's public healthcare system" after years of instability.

Concluding, Opposition Leader Alex Borg countered that the government was "living in a fairytale utopia" detached from the realities of Malta's crumbling hospitals. He said the arbitration showed that "the only losers in this saga are the Maltese and Gozitan people." Borg argued that while the government was claiming victory, the tribunal and the Maltese courts had both established that the concession had been marked by fraud and collusion.

"The government, together with foreigners, defrauded the Maltese and Gozitan people," Borg declared, adding that patients had paid the ultimate price for years of failed investment and neglect. He accused Abela of attempting to shift blame onto the Opposition and particularly Adrian Delia, who, Borg said, had "won back the hospitals for the people" through his court action. "The people will respond at the next general election," Borg concluded.

PN MP Darren Carabott accused the government of hiding behind "political spin" and refusing to be transparent about what the ICC tribunal actually decided. He said Prime Minister Abela brandished the arbitration report in Parliament but failed to quote a single line from it. Citing the tribunal, Carabott said the primary victims of the failed concession were "the citizens of Malta, who were anxious to receive better health services."

He said the ICC ruling did not contradict the Maltese courts' earlier findings that the hospitals deal had been a "fraudulent scheme enabled through government collusion." The PN MP also rejected Labour's claim that the Opposition invented the €400 million figure, pointing out that the government itself had demanded €488 million in its counterclaim before the tribunal. "Who seeks a refund for something they never gave before?" Carabott asked, arguing that the government's rhetoric was inconsistent at home and abroad.

Justice Minister Jonathan Attard insisted that "there was no theft of €400 million," describing the Opposition's claim as "a dangerous lie." He said the ICC ruling confirmed that the government paid for services rendered and that "no fraud was found." Attard accused the PN of trying to deceive the public for political gain, saying the tribunal had "settled the matter once and for all."

"The facts are clear. Steward's claims were rejected, and Malta was found to have acted lawfully," he said. The minister stressed that the government had presented both the Court of Appeal's decision and the NAO reports as evidence during arbitration-something he said reflected "a serious administration that respects national institutions." Attard accused the Opposition of being "prepared to gain power at any cost," warning that "those who build on lies build on sand."

Former PN leader and MP Adrian Delia, whose court case had previously led to the annulment of the hospitals concession, accused the government of "lying to the Maltese people" about the arbitration outcome. He said the government used the very court judgment from his case to block Steward from claiming an additional €100 million, yet now blamed him for Malta's inability to recover the €487 million it sought.

Delia quoted several paragraphs from the arbitration report, noting that it cited the NAO's finding that "collusive action between the Maltese government and the private companies involved renders the entire process dubious." He reminded that neither former Health Ministers Konrad Mizzi nor Chris Fearne had testified before the ICC tribunal, questioning the government's claim that it had mounted a full defence.

Citing the NAO's press release, Delia said the government had spent over €456 million on the concession by mid-2021, contradicting Labour's assertions that no money was lost. "Nearly €900 million left Maltese pockets," he said, adding that the hospitals remained in disrepair with no visible upgrades. He argued that the arbitration confirmed that "Maltese citizens were the true victims," and accused Abela's administration of defending "thieves" for years while attacking those who sought justice.

Culture Minister Owen Bonnici accused the PN of "distorting facts" and misleading the public. He said the ICC ruling had brought "stability once and for all" after years of political turmoil. "For years you have been spreading falsehoods while we safeguarded the national interest," Bonnici said, insisting the government had defended Malta's position "from start to finish."

He recalled that when Labour took power in 2013, Malta was under economic strain and that the public-private partnership with Vitals had been conceived as a "win-win solution" to attract investment and promote medical tourism. Bonnici rejected claims of collusion or fraud, saying the courts had not confirmed such accusations. He further argued that Delia's court case only sought to annul the contract for political gain, rather than to recover damages. "Had Delia really wanted to recover funds, he could have filed for compensation," Bonnici said.

The minister maintained that the arbitration ruling confirmed the government acted responsibly, calling the outcome "a victory for stability and the national interest."

The divide reflected two competing narratives: for the Labour government, the arbitration ruling vindicated its handling of the concession; for the Nationalist Opposition, it underscored years of mismanagement and deception. While the government pledged a new plan to modernise the hospitals, the Opposition vowed to keep pressing for accountability.

This is an abridged version of the minute-by-minute reporting of the sitting which may be found here

 


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