For months, I have been warning that Malta's public finances cannot be treated as if they have no limits. Before the general election, I argued that the country needed to confront the sustainability of its spending model, the rapid accumulation of debt and the growing weight of recurrent expenditure.

Today, the Finance Minister appears to be facing this reality.

Recent reports of the Finance Minister warning that there is little room for further spending, followed by restrictions on government agencies, are deeply significant. The Shift has reported that the government has ordered a spending freeze across government agencies, the return of uncommitted funds and restrictions on recruitment and new projects.

The latest figures published by the National Statistics Office make the situation clearer. By the end of August, the Consolidated Fund deficit stood at €376.2 million. Recurrent revenue had increased by €723.6 million compared with the same period last year, but total expenditure had increased by €896.4 million. Central government debt had reached €12 billion, €864.1 million higher than a year earlier.

These figures show that even with strong revenue growth, expenditure is increasing faster.

The next Budget therefore matters enormously.

In three weeks, on 26 October, the government will present the Budget for 2027. This Budget cannot simply be another catalogue of promises. It has to be an honest financial statement about what Malta can afford, what it cannot afford, and what its priorities should be.

The Finance Minister faces higher energy and fuel subsidy costs, while also having to meet election commitments and fiscal obligations.

The Malta Fiscal Advisory Council has already warned about the strong increase in expenditure and the limited room available for further spending if the government is to remain within its fiscal projections.

Instead, too much of our political debate has been about what government can give, rather than what government can sustainably finance.

I am not arguing that government should stop helping families. Support for people facing excessive energy costs and genuine hardship matters. But support must be sustainable.

A subsidy that protects families today but creates an unsustainable fiscal burden tomorrow is not a complete economic policy. Nor is borrowing automatically bad. Borrowing can be justified when it finances productive investment that strengthens the country's future capacity. The problem arises when borrowing increasingly supports recurrent expenditure without creating sufficient value for the future.

This is why the Budget must be about choices.

If money is limited, government has to decide what comes first. Should we continue expanding recurrent expenditure without sufficient scrutiny, or redirect resources towards productivity, infrastructure, education, healthcare and competitiveness?

Every euro spent by government comes from somewhere. It comes from taxpayers, from economic activity, or ultimately from borrowing. And every euro borrowed today creates an obligation for tomorrow.

The €12 billion debt figure cannot be dismissed simply because Malta's economy has grown. Debt has consequences. Interest must be paid, and fiscal space used today cannot be used again tomorrow.

That is why financial sustainability should never be treated as an Opposition slogan. It is a national responsibility.

The warnings we are hearing now are close to the concerns I was raising before the election: Malta needed to recognise the limits of its spending model and distinguish between spending that creates future value and spending that simply increases the size of the State.

Now, the Finance Minister is telling us that difficult choices may have to be made because the money is not unlimited.

There must be no difference between the message given privately to social partners and the message given publicly to families and businesses. If the financial situation has become tighter, the government must explain why. If spending has to be restrained, it must explain where and why. If previous commitments can no longer be maintained in their original form, the government must say so openly.

The Budget on 26 October must therefore be different in one fundamental respect: it must put financial responsibility before political convenience. It should also give businesses and families certainty, so that they can plan their own finances with confidence rather than constantly waiting for another announcement or another change in policy.

We need a credible path for public finances, greater transparency over expenditure, stronger scrutiny of recurrent spending and investment that raises productivity. We must protect families without pretending every subsidy can continue indefinitely without a cost.

Above all, we need honesty.

For years, Maltese people have been told that everything is under control. Now, as the Budget approaches, they are hearing that there may be little room left for further spending.

If the finances are strong, show us the numbers and explain why restrictions are necessary. If they are under pressure, tell the people the truth and explain how we got here.

The coming Budget should not be designed to impress people for a few days. It should be designed to protect Malta for many years.

This is the moment to move from spending without sufficient limits to spending with clear priorities. From short-term political commitments to long-term economic sustainability. From quantity to quality. From promises to responsibility.

The money belongs to the people. The responsibility to manage it belongs to government.

And three weeks before Budget 2027, Malta deserves nothing less than the full truth about the state of its finances.

Adrian Delia is Nationalist Party shadow minister for finance