Income thresholds are to be adjusted so that those in receipt of social benefits would not lose them because of the energy benefits announced in the Budget, Finance Minister Tonio Fenech announced this afternoon.

He said that 90 percent of domestic consumers, who use 10,000 units of electricity, would be eligible for the energy benefit. 70 per cent would see the recent increase in the water and energy tariffs fully covered by the energy benefit. Some would even have a surplus.

Speaking at a UHM conference on the Budget measures, Mr Fenech also announced that should Gozo Channel lose the right to operate the Gozo ferry service after a call for tenders is issued next year, the new company would still be covered by Public Service Obligations and would be required to take on the Gozo Channel workers.

The minister said that Malta was doing well, compared to other countries, despite the economic recession. He pointed to severe austerity measures being taken in countries such as Greece, Ireland and Latvia, where civil servants are being laid off and salaries are being reduced, and said the financial turmoil in Greece was of particular concern because of the impact it could have on the eurozone.

In Malta, he said that Malta Enterprise this year approved investment worth €23 million by local businesses, mostly on expansion projects These would see the creation of 200 new jobs.