Studies commissioned by the government have shown that a tunnel between Malta and Gozo would be more feasible than a bridge, Finance Minister Edward Scicluna said in the Budget speech this evening.

He said that nearly €500,000 will be spent next year on detailed technical and geological studies on the building of a tunnel. That will include boring of the seabed before a final decision will be taken on going ahead with the project.

The tunnel project will be held in conjunction with the private sector.

The minister also announced that Gozitan students working in Malta will see their allowance raised by €300 per year.

Furthermore, employers who engage workers in Gozo on at least a three year contract will be given a refund equivalent to 20% of the average wage.

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