Prime Minister Robert Abela addresses a KPMG and Property Malta conference
In the first nine months of this year, first-time and second-time buyers saved around €69 million in stamp duty on property purchases. This was announced by Prime Minister Robert Abela during a conference organised by KPMG and Property Malta. In an address at the start of the conference, the Prime Minister pointed out the strong schemes introduced by the Government to continue helping more people, including young people, to become homeowners. He said that with the preferential stamp duty scheme, in the first nine months of this year, more than nine thousand families benefited, saving close to €8,000 each on average.
The Prime Minister recalled that the Budget announced the expansion of the equity sharing scheme where now young people from 25 years of age and above can benefit from it instead of from 30 years of age. With this scheme, the Government issues half of the property sum and the buyer must redeem the sum up to 20 years later. The property limit has been raised to €350,000. This scheme is among others that exist where the Government is helping towards affordable housing. Other schemes include the grant of €10,000 to first-time buyers, strong grants for those who invest in property in an urban conservation area and the VAT refund for property renovation. He also reminded that those who invest in energy-efficient property with sustainable practices can receive another grant of up to €9,000.
Prime Minister Abela referred to a study by the Central Bank of Malta which states that only a quarter of homeowners in our country still have a loan to pay off, while in Europe the rate is three quarters of homeowners. He also explained that two-thirds of those with the lowest incomes still own their home in our country, compared to half of those with the lowest incomes in Europe.
Dr Abela also mentioned how the Government has continued to invest in families as a result of the country’s economic strength, including one tax cut after another that increases people’s wages. He said that EUROSTAT statistics clearly show that the average wage in our country in the last five years has increased by more than the entire increase that occurred between the year 2000 and the year 2012. This means an increase of more than €6,600 per year. This at the same time that unemployment has dropped to historical lows.
Prime Minister Robert Abela also noted how the Maltese economy is being awarded excellent certificates, including from the European Commission and the International Monetary Fund (IMF). The Prime Minister said that the IMF is saying that Malta will have the most dynamic economy in Europe by 2030. He said that economic strength gives the Government the opportunity to continue investing and provide a brighter future for families.
At the same conference, the Minister for Justice and Construction Sector Reform Jonathan Attard spoke about the Government’s vision to transform the construction and property sector into a model of excellence, sustainability and trust. He argued that the construction and property sector is not only a pillar of the Maltese economy, but a crucial element in the quality of life of the people.
“Progress cannot be measured by numbers alone, but by quality, safety, sustainability and transparency,” said the Minister. The KPMG report presented during the conference confirms the strategic importance of the sector, which brings with it greater responsibility for the industry to operate with integrity and professionalism. He described as a historic initiative the work that will lead to the creation of the first National Building and Construction Code, which will introduce clear and enforceable standards for safety, sustainability and quality. The Minister stressed that sustainability remains at the heart of the Government’s vision. Schemes such as Irrinova Darek and Ixtri Propjetà Sostenibbli will continue to be supported, along with two new schemes for next year. Dr Attard thanked all stakeholders for their commitment to strengthening dialogue and professionalism in the sector.
Photos: DOI/OPM
