Opposition leader Joseph Muscat said this afternoon that he will make concrete proposals on the water and electricity tariffs when he replies to the budget speech in Parliament tomorrow.

Dr Muscat made his comment as he led a Labour Party "manifestation of courage" in Valletta. The manifestation was a reaction to the new water and electricity rates. Those taking part carried Maltese flags and placards such as "Kontijiet tax-xokkijiet", "Gvern bla qalb" and "Yes we can" - Barak Obama's campaign slogan.

Dr Muscat rejected the Prime Minister's claim that the activity was theatrics, saying this was a manifestation of the people's feelings and an activity meant to instil courage in the people. (See video)

When he addressed the thousands present at the Palace Square, Dr Muscat said the people were getting the opposite of what was promised just seven months ago before the general election, He insisted that the wellbeing of the country demanded a change of direction.

The people wanted action so that their purchasing power would not continue to be eroded, so that the unemployed, including graduates could find jobs, so that healthcare would no longer mean long waiting lists, and so that leadership was accountable.

He hit out at the new tariffs and said the government was using them to cover its incompetence of the past 20 years. What was needed at a time of international economic turmoil was more money in the people's pockets and not the other way around.