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Brussels probing ­‘discrimination’ claims by non-Maltese residents

The European Commission is investigating claims made by EU nationals living in Malta of “institutional” discrimination in the provision of services by the authorities.

The complaints encompass different tariffs charged to non-Maltese residents for water and electricity, use of public transport and banking services.

These complaints, which are reaching a number of MEPs, were recently raised at the European Parliament. However, while acknowledging the Commission was looking into every complaint, Justice Commissioner Viviane Reding said discussions with Malta were ongoing.

“We are in contact with the Maltese authorities on all these issues and we are expecting further information,” Ms Reding told Proinsias de Rossa, a Socialist Irish MEP who raised these “discrimination” claims.

According to EU rules, all European citizens have to be treated equally and no discrimination based on nationality is allowed.

However, many “foreign” residents in Malta, particularly British and Irish, complain of being charged different rates than Maltese nationals for water and electricity, public transport and for using certain banking services.

The government has always refuted these claims saying no discrimination based on nationality exists towards EU citizens and that the only differences are based on “residence”, something the EU Treaty allows. Sources close to the Commission said most of the complaints concerned two primary issues: utility tariffs and public transport.

With regard to utilities, Ms Reding told the Irish MEP that Brussels was in contact with the Maltese authorities over the rebates for water and electricity tariffs. “We are awaiting Malta’s reply,” she said. The same applied to the public transport fare structure although Ms Reding specified that bilateral discussions were being held with Malta on this issue.

“The Commission has requested more information on the issue to be able to carry out its assessment in a fully informed manner.”

The Commission has so far not said whether it believes the tariff structure applied by Arriva – under which Maltese ID card holders pay about 40 per cent less than other customers for the same service – is in line with EU rules.

On the claims of discrimination by banks, the situation seems to be different as banking groups abide by different rules.

The Commission specified that banks have commercial freedom to decide whom they offer their services to and under what conditions.

Ms Reding said banks were likely to have higher requirements in relation to identification of customers “who are not residents or have been shortly residing in a given member state, as this situation may present a potentially higher risk of money laundering or fraud”.

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George Zammit

Sep 29th 2011, 17:57

Mr Sammut for your information bus fares are not the same for foreigners OAP in the Uk if you don't know please don't talk

Andrew Calleja

Sep 29th 2011, 18:42

But does it still cost you less than what you have to pay in the UK? Therefore, it is still costing you less to travel by bus when visiting Malta then when you're back in the UK.

Think about it ...... if you decide to settle down in Malta your savings would even increase!

Andrew Calleja

Sep 29th 2011, 14:31

And how much do you pay for your weekly bus travel in London?

Michael Gioffre

Sep 29th 2011, 14:45

The same as everyone else

Andrew Calleja

Sep 29th 2011, 15:35

Ha Ha! Clever! But still steering away from the cost issue. I happen to know quite well how much it costs to travel around in London and it's a cost that can't be avoided.

Natalie Wiffen

Sep 29th 2011, 18:01

I too was charged just over 3,500 euros in registration tax on my car I brought over with all my belongings!

I, like many other EU citizens work, pay taxes & NI - which contribute to the state - this I agree with but I do object to paying higher water & electricity bills, bus fares, registration tax (when I had already paid tax in the UK when purchasing the car) & having limitations on a bank account to name but a few. I won't go into dual pricing in cafes, restaurants, bars, markets etc!

If I was paid much higher then any Maltese citizen then maybe I wouldn't object so much but I'm on the same pay scale.

I do hope that there will be an end to this but I don't hold my breath!

Anthony Roberts

Sep 29th 2011, 13:10

Completely right

Mr Tony Gatt

Sep 29th 2011, 11:17

This is because residents pay a council tax (in my case £1300 annually) which partly funds, among other things, roads, schools, transport etc.
Non-residents do not pay this tax. Also in Malta it does not, as yet, exist.

Anthony Roberts

Sep 29th 2011, 13:17

I am not a resident of the UK, and I do feel discriminated against when I go there on holiday and have to spend money on public transport, we are talking here of GBP 10 return. When my wife's mother was ill in hospital and we had to make the trip may be twice a day, then it cost us GBP40 a day in bus fares (approx.)

All fares should be the same for everyone, if pensioners are given a lower charge or are free in one country then it should go for all no matter who they are. I am 81 years old, so there is no need for identification of age, you can see it in my face lol.


The tourists are being charged 2.60 Euros for a day ticket here in Malta, where I pay the full fare despite my age whenI go to the UK.

K Perry

Sep 29th 2011, 15:34

If you think that a pensioner bus pass issued in say Devon allows you to use a bus in Nottingham without paying I wouldnt try it without some money in your purse!!
I think you will find its only free/reduced in the area where you reside.

colin wilcox

Sep 29th 2011, 19:50

K Perry you are wrong bus travel for pensioners are freein all the uk
choose where you live

Mr Tony Gatt

Sep 29th 2011, 20:50

@ K.Perry,

As far as I know a pensioner's bus pass can be used on all local public transport in the U.K., not just where it is issued. This does not include express buses, however, such as National Express.

Mr Tony Gatt

Sep 29th 2011, 20:57

It's not the bus fares which I object to as much as the discriminatory charges on water and electricity. The argument that Maltese pay taxes in Malta whilst foreigners do not does not hold water as Malta is a net beneficiary of EU funds, paid for from taxes from those same foreigners who are being ripped off.

PAUL BUSUTTIL

Sep 29th 2011, 09:44

DONT HOLD YOUR BREATH !!!!!!!!

Mrs Janet Bayes

Sep 29th 2011, 08:55

Absolute poppycock. There should be NO subsidies - - everyone should be paying the same rates.

Mr brian taylor

Sep 29th 2011, 09:30

YOU are so wrong. Go to the UK, get on a bus or consume electricity, and you will pay the same as a British person.
EU persons living in Malta, whilst perhaps not working, maybe retired, still contribute lots of money via indirect taxes such as VAT.
Also now that Malta is in the EU you are net beneficiaries to handouts from the EU coffers; where do you think that money came from? It came from EU citizens, the same people who are paying over 30% more than you for their electricity.

Mr Peter Murray

Sep 29th 2011, 09:37

Then by your logic the precisely same conditionds must apply to Maltese Citizens within the EU -which is not currently the case hence the charges of discrimination .Your claim and reasoning relatingas to how discrimination is applied and/or determined or established is immensely flawed-read manifestly wrong.

Jonathan Barnes

Sep 29th 2011, 09:44

Please check your facts before commenting. Many eu residents including myself who "do" work and "do" pay taxes in Malta are being charged "domestic" tariffs and not "residentiall" as the case should be. These tariffs are thirty percent above the correct ones that are supposed to be charged to all people who are resident in Malta.
Subsidies are a completely different matter.

Phil Humphries

Sep 29th 2011, 11:00

I thought that government subsidies are illegal in the EU ? (e.g. Air Malta ? )

But it doesn't matter how you spin it, this is still discriminatory. I don't imagine you would expect to pay far more than anyone else for your water, electricity or bus fares in another EU country, would you ?
And don't forget, every foreigner that brings and spends money to Malta pays VAT, which is a huge earner for the government. The reality is that some foreigners pay more VAT each year than some nationals pay in income tax and VAT combined, yet they receive nothing in return. Conversely, there are many rich nationals who, by fair means or otherwise, pay little or no income tax and yet they benefit from 'subsidised' utility bills. Does that make sense ?

It is right and fair that those on the lowest incomes should get help with their utility bills, but as things stand, every resident, be they rich or poor, receives a subsidy. Rather than rewarding the rich and penalising foreigners, wouldn't it make more sense for any government 'help' to be in the form of means-tested social security payments that are paid directly to ARMS, and free bus passes ?

Mr Mario Gauci

Sep 29th 2011, 11:18

And there you have it Mr.Vella. Going by these comments here.
We depend on tourists and if some decide to settle in Malta even better. This is no friendly measure to attract tourists to our island. We are slowly but surely loosing out on our biggest earner. We used to be the place to retire to, an island were if you came to visit for a week you want to visit for two weeks the next year.
Sadly not any more, and who is the loosers. You and I Mr. Vella.

Mr Tony Camilleri

Sep 29th 2011, 13:22

Mr Mario Gauci shall we start stacking people on top of each other?

WE NEED BREATHING SPACE NOT MORE SETTLERS FROM WHATEVER COUNTRY.

Mr Danny Apap

Sep 29th 2011, 14:00

I agree with you Mr Vella I do not pretend that I use my UK op bus pass in Malta or anything else! But what I do object is being over charged when go to buy something at a feast or on the beach.

We put this to the test so many times, first I go and buy something and I am Maltese then goes my daughter who understand a bit of Maltese but not to speak it , she don’t have Maltese look she looks very English and buys the same items that I did and get charged €2 or more! Now to that I object .

Mr David Willow

Oct 1st 2011, 07:54

what a load of rubbush - producing your id card for bus fares is NOT evidence of paying taxes....neither is having a certificate of residence.

The EU rules here are that all EU nationals must be treated equally...the same as maltese or non maltese residents - SIMPLE REALLY - STOP THIS NONSENSE MALTA..YOU ARE A DISGRACE.

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