It was clear from today's meeting of the Malta Council for Economic and Social Development that the government is playing for time and with families' standard of living the Labour Party said in a statement.

The PL's statement followed a three-hour MCESD meeting during which it was agreed that the government should present a report on inflation by the end of March, by when a decision should also be taken whether compensation should be given, and what it should be, to make up for the increase in prices.

The government reacted by saying that, through its statement, the Opposition showed a lack of respect towards unions and employer bodies by trying to ridicule their work in the morning. It also minimised the role and importance of the MCESD.

The PL said the government was hiding behind international price increases as if it had not itself increase excise on fuel last October. The regulator had aproved increases in the prices of utilities which were much higher than the effective price the private operator was charging.

It said that while the government said that compensation would be given at the end of March, if at all, the Prime Minister, ministers and parliamentary secretaries found the money to double their pay with a 600 euro weekly increase as of 2008.

The government said that the private operators were selling gas at a lower price than established by the regulator as a result of the direct competition in the sector which was leading to the price of gas from abroad to be curbed. The increase in the price of fuels and gas was affecting Malta since what it consumed was imported.

The government said that in view of the financial and economic crisis, the government would remain focused on the creation of jobs, which was leading to more investment, new jobs and lower unemployment.

The government was also investing more in benefits and social services, the education and health sectors, and in the care of the elderly and the environment.