The increase in the country’s fiscal deficit in the first five months of this year is largely due to a lack of control of the government’s recurrent expenditure, according to Labour finance spokesman Karmenu Vella.

During the January to May period, the government’s deficit increased by €83 million to €234 million.

Mr Vella said the government had on more than one occasion pledged to reduce its recurrent expenditure but had failed to do so, and pointed out that recurrent expenditure had increased by 10 per cent, or €92 million, in the first five months of this year.

Labour’s finance spokesman said that according to this year’s Budget the government’s recurrent expenditure for the whole year was due to increase by no more than €76 million, yet this target had already been missed by €16 million only after five months.

Mr Vella said that although the government was projecting an increase in income of €265 million for the whole year,during the first five months this increase had only increased by €27 million.

In a statement issued in response to Labour leader Joseph Muscat’s criticism on Friday of the government’s handling of finances, the ministry said the opposition leader often claimed the deficit had increased, only to remain silent when the government reached its deficit targets at the end of the financial year.

“The Leader of the Opposition needs to understand that, in addition to additional expenditure that might occur, such as was the case with Air Malta earlier this year, a substantial part of the government’s income, particularly income tax and VAT, is submitted towards the end of the year, and therefore the deficit appears to have widened,” the ministry said.