Prime Minister Joseph Muscat said today that the government’s preparations for the Budget could be summed up in one word: Optimism.
“We will got to parliament tomorrow with high optimism, in the knowledge that we are delivering on our promises and will continue to DO so,” Dr Muscat said in a political address in Zejtun.
He said that what the government promised last year had been largely implemented and would continue to be implemented. This was what made the government proud.
This optimism was being felt by the silent majority, as well as most retailers.
“The people can see that they have more money in their pocket,” he said. True the government imposeS some taxes, but it gives much more in return. The opposite was the case before," he said.
Leaving more money in the people’s pocket would mean boosting the economy for a more equitable distribution of wealth, not least to those with a small income. That was why the government wanted to build a new middle class, he said.
IMPORTANT DECISIONS TOMORROW: WELFARE REFORM, PARTNERSHIPS WITH THE PRIVATE SECTOR, HEALTH SECTOR AND TRANSPORT
Tomorrow, he said with reference to the Budget, the government would announce reforms, particularly welfare reforms, which had been postponed for far too long, to the detriment, especially, of future generations.
The government, he said, would reward hard work and hard working families and it would take measures to further discourage the lazy who lived off other people’s money. People had to help themselves by working before expecting others to help them, he insisted.
One should not longer argue about being a single mother, some worked hard but others were abusing the system and did not want to work. That also applied to some unemployed people, who simply did not want to find a job.
Those who were genuinely sick and could not work would find more tangible help, but those who were fit to work but did not have a job would need to go to training.
This government would in the Budget also introduce an unprecedented level of partnerships with the private sector. Access would be given to the private sector to an enormous part of the economy, opening the door for productive job creation.
The Budget would also feature measures for greater integration of people with disability.
Other reforms would include electricity tariff cuts for businesses, reforms for renewable energy and major reforms in the health sector based on the principle of free health services for all.
Another focus would be on the reform of the bus service with the government showing how it would rebuild this sector.
This government, he said, had introduced free childcare, reduced taxes on full-time and part time work, rents and duties for first time property buyers. It was also introducing incentives for third pillar pensions while others wanted compulsory second pillar pensions.
This government also ensured stability in fuel prices, which was important. He insisted that prices at the pump locally over the past six months were cheaper than the European average and cheaper than in Italy or the UK.
Malta now had the biggest ever working population and an unemployment rate which was at a record low. Inflation was also at its lowest in 30 years and below wage inflation. That was why the cost of living increase, which was actually compensation for the rise in the cost of living over the previous year, was low.
True, 58c was low, but the cost of living did not increase much over the past year. Still, measures would be taken in the Budget to show that the government listened to the people, he said.
JUNIOR EUROVISION: GOOD PERFORMANCE, AND €1 MILLION SAVED
Early in his address Dr Muscat congratulated singer Federica and Home Affairs Minister Manuel Mallia, responsible for broadcasting, for yesterday's Junior Eurovision Song Contest.
Federica, he said, had done the country proud. He also joked that during the concert yesterday he had been exchanging SMSs with Dr Mallia and the finance minister on whether they would need to allocate an extra €1m in the Budget had Malta won the concert again.