The major difference between Nationalist and Labour governments is that the Nationalists, after widespread consultation, reconsider their proposals before they are cast in stone, while the Labour governments only admit their policies are wrong when faced with a fait accompli. Malta's independence, local councils, VAT, EU membership and euro adoption spring to mind.

Recently, the Malta Hotels and Restaurants Association found fault with the bed tax that the government had proposed. Instead of taking the haughty and obstinate road, after consulting with the main tourism stakeholders, the government announced it will be replacing the proposed "nightly" bed tax by an eco-contribution in the form of a capped tax per stay. The revenue collected from this measure, which will be reinvested in the industry, will amount to between €3.5 and €4 million Since the government believes that instead of subsidising utility tariffs, it is wiser to help them reduce consumption, it has also announced a package of incentives amounting to €40 million to help hotels invest in alternative energy.

The government is therefore offering to finance half the required investment up to a maximum of €200,000. Apart from previous schemes helping hotels invest in expansion and refurbishment projects, extending the budget for joint marketing schemes and assisting hotels in difficulty, the government will now also support them through soft loans taken out to finance their part of the investment in alternative energy.

Furthermore, this year the government has raised the Malta Touism Authority's budget from €28 million to €31 million.

These decisions will undoubtedly help the tourism industry remain globally competitive.