Malta's construction sector has experienced significant improvements during 2025. Concrete action is very evident. Prior criticism, where lack of enforcement and certain influences were usually mentioned as the cause of lack of transparency, has led to much-needed changes. Although essential steps were taken, there still are other changes which await reform. However, a strong foundation has been established, upon which further development may provide for a stronger legislative framework.
As of July 2025, construction contractors have to be licensed to operate. Such licence is issued by the Building and Construction Authority (BCA). Therefore, one cannot operate as a contractor without having such a licence. If so, one is penalised. The norm is now one which favours a lawful and diligent system.
Licensing helps in making a sector more professional and increases standards. Licences are divided into categories depending on the type of works, hence making traceability easier. Although those who enjoy criticising draw emphasis on enforcement, current heightened regulation show real will to reform for the better.
The BCA continued to evolve during 2025, by increasing staff and enhancing its mechanisms for better functionality. It is working on National Building and Construction Codes, which have the aim to regularise and enable a more structurally-sound sector, together with providing more protection. This portrays the will to advance and ensures that regulations are in line with European standards. The BCA may very well be seen as a flourishing entity, synonymous with serious regulation.
Another crucial aspect of such a reform is health and safety, whereby contractors are now more aware, and have a duty to incorporate certain measures for a healthier and safer environment. This is helping to tackle the incidents and serious cases on construction sites. The construction reform falls under the Ministry for Justice and the Reform of the Construction Sector led by Minister Jonathan Attard who has shown that when he embarks on a reform cycle he will see to those changes being implemented robustly and effectively. Despite all the implications and complexities such sector brings with it, the government is giving it real importance. Millions of euros are planned to be allocated for these reforms; this shows the commitment to such a sector beyond 2025.
Such reforms are reflecting the dignity of the workers in the sector, as much as the other key players in the field. They are also complementing the rights of individuals to have safe and adequate homes. In turn, one foresees stronger basis for expecting safer homes for families with a more elaborate legal framework in a structured society.
A government that listens
Although planning and construction are not the same, they do intersect. The government is currently proposing improvements in relation to appeals and other elements of the planning process.
Although some welcomed such changes and agreed to the need for reform, others criticise the process by which this is being carried out. The government has showed time and time again that it is willing to listen and amend its proposals and is committed to a reform that can be endorsed by the majority of our society - while justly stating that it is the government which is expected to lead on the needed reforms. One has to keep in mind that change is not easy especially in a sector where practices were quite different until some time ago.
The government is aware that the desired results will take time, and also gives value to the aspect of enforcement, which is being given more weight and focus.
Statistically reform has not affected the sector economically, as it is still strong despite regulation. This shows how the government is willing to regulate while still leaving the sector to flourish. In fact, the government has always been in favour of sustainable development and working towards a regulated sector.
2025 was another year of realisation and reform when it comes to construction. Real and practical progress was carried out and already such reforms are leaving a positive and effective mark. This is an ongoing dynamic project with many challenges. Resistance to change can be a negative factor which must not be ignored.
These reforms shall succeed if there is genuine political will and a consistent and responsible government. The will and ability of the present Labour administration has shown to be one that puts Malta's interests first and foremost. The Maltese Government has taken concrete and courageous steps for the betterment of the construction sector in 2025 - steps which we need to keep building on in the months to come.
Dr Miguel Balzan is a lawyer and PL minority leader in the Swieqi local council