The government's proposed changes to the Code of Ethics and asset declaration requirements would formally do away with ministerial asset declarations, while also removing the requirement for MPs to list immovable property belonging to their spouses where the community of acquests applies.

On Monday, the government published proposed amendments to the Code of Ethics for Members of Parliament, changes to asset declarations, and also the introduction of a register of interests.

One of the proposed clauses would do away with the requirement for ministers to file their own declarations of assets with the Cabinet Secretary. The law as it is now reads: "When  a  Minister  is  appointed  to  office,  he  shall immediately provide a statement of his assets and interests to the Cabinet  Secretary  on  the  relative  form.  Any  interest  that  may otherwise give rise to a perception of conflict of interest and any actual  conflict  of  interest  shall  also  be  indicated  to  the  Cabinet Secretary. This statement shall be provided every year in the manner indicated from time to time."

But the government's proposal would change this clause to: "Any interest that may otherwise give rise to a perception of conflict of interest and any actual conflict of interest shall be indicated to the Cabinet Secretary," thereby doing away with the requirement for ministers to provide a statement of assets to the Cabinet secretary.

The Ministerial declarations of assets, which are separate and more detailed than ones filed in Parliament by all MPs, have not been published since 2023, with Prime Minister Robert Abela previously saying that there should be one kind of uniform asset declaration for everyone.

Prime Minister Robert Abela is pushing to scrap separate asset declarations for ministers, arguing they are redundant given the annual financial filings required of all MPs. However, Standards Commissioner Joseph Azzopardi had flagged this as a "setback for transparency."

Azzopardi warned that the MP version is significantly less detailed, omitting crucial data like personal income and the bank accounts or investments of spouses. 

The government's proposal also makes changes to the MPs asset declarations. These declarations need to be filed by all Members of Parliament to the Speaker and can be inspected by the public.

A proposed clause, for instance, removes the requirement for an MP to declare the immovable property of their spouse if the community of acquests applies. The current Code of Ethics of Members of the House of Representatives says the MPs must indicate in the register of assets, held by the Speaker of the House: "his own immovable property, that of his spouse if  the  community  of  acquests  applies,  that  of  his  minor children  as  well  as,  if  he  so  wishes,  the  manner  of  its acquisition and of its use." 

The government's proposal has a clause that is only slightly similar, and with crucial changes. It reads: "his own immovable property and its type, as well as the date and manner of its acquisition."

Thus it removes the requirement for MPs to declare the immovable property of spouses and minor children.

The government's proposal also makes changes to declaration requirements for MPs, strengthening them in some cases. It states that MPs declarations of assets shall include "shares in commercial companies investments, including money deposited in banks, virtual currencies, outstanding loans to be repaid by the Member and any other kind of financial interest; intangible assets such as patents, trademarks, copyrights and brands; income generated by his office, work or profession in the previous year; directorships and other positions involving payment in commercial companies, associations, boards, cooperatives or any other group."

Currently, the legislation requires the declarations to include "shares  in  commercial  companies,  investments including money deposited in banks and any other form of pecuniary interest; directorships  or  other  official  positions  in commercial companies, associations, boards, co-operatives or other groups, even if voluntary associations."

Here, the government's proposal removes the 'any other form of pecuniary interest' requirement, and specifically spells out what needs to be declared, and introduces the requirement to declare income. It also specifies any other positions 'involving payment', rather than any other official positions in general.  However the government is also proposing the introduction of a register of interests, where MPs would have to declare their positions in any voluntary organisations for example.

The proposed regulation retains the requirement for an MP to declare in the asset declaration his or her occupation or profession, but now adds on "in the previous three years," and also keeps the requirement to identify his or her employer if they are employed, although just changing the wording from the "identity of his employer" to the "name of his employer."

The government's proposal also includes a clause stating that the obligation for an MP to make their asset declaration shall cease upon the moment they ceases to be a Member of the House of Representatives.

Register of interests

As mentioned earlier, the government's proposal would introduce a register of interests, which would be kept by the Speaker, "and which register shall be open to inspection by the public." It lists what MPs would need to list inside the register.

This includes "membership or office in voluntary organisations or, professional services provided to them; professional interest, including consultancy in relation to work related interests, management or any form of connection, whether financial or otherwise, with persons, groups or companies having a direct interest in any legislation before the House; visits abroad which are paid for in whole or in part by any person, group or company having a direct interest in legislation before the House; a conflict of interest relating to any other business of Parliament, including its committees and parliamentary questions."

It also specifically states that any interest indicated in accordance with the paragraph "professional interest, including consultancy in relation to work related interests, management or any form of connection, whether financial or otherwise, with persons, groups or companies having a direct interest in any legislation before the House," shall also be declared in Parliament, at the earliest opportunity, before a vote is taken on the Second Reading of the Bill.

Under the proposal, an MP who is appointed for the first time to the House of Representatives shall, within one month of his appointment, declare any interests which they have on the date of their appointment. It would also require MPs to indicate any changes in registrable interests within one month of the emergence of such interests.

Code of ethics

Under the government's proposal, the code of ethics for Members of Parliament would also see updates.

For example, it lists a set of 6 values which MPs would uphold in the course of their duties.

The first value is loyalty - "while a member is expected to do his utmost to represent the priorities and concerns of constituents in the best way possible, he is required to give priority to the common good of the country and the wellbeing of its citizens over private interests," it states.

The second value is objectivity - "Members shall scrutinise, consider and present matters of public interest in an objective and responsible manner."

The third, is honesty - "members shall fulfil their duties honestly and present factual arguments. They shall avoid providing false or misleading information, both intentionally and unintentionally."

The fourth value listed, is accountability - "members shall be accountable to the public and shall submit themselves to the scrutiny necessary to ensure this. They shall ensure that they use public resources diligently and in accordance with the rules governing such matter."

The fifth is transparency - "members shall be as open as possible about the decisions, positions and actions that they take, and they shall give reasons for their decisions."

The sixth value listed, is confidentiality - "information received by members in the course of their professional duties shall be used strictly in connection with those duties. Members are prohibited from using such information for personal gain."

The proposal adds a clause stating that MPs shall show respect to the Speaker and to all other members of the House of Representatives.