Budget does not go far enough to address economic hardships: Justice and Peace Commission
Archdiocese’s Justice and Peace Commission says Budget 2025 fails to secure a dignified standard of living for those facing economic hardships
The Church’s Justice and Peace Commission said Budget 2025 fails to secure a dignified standard of living for those facing economic hardships.
“The Commission […] stresses the need for ongoing improvements to address the broader social needs of vulnerable groups — especially the elderly, homeless, and migrant workers — who face significant barriers daily,” it said.
Acknowledging the government’s pledge for “quality”, the Commission argued this goal requires more than monetary support, “it needs policies that foster the integral development of every person, nurturing a truly inclusive, resilient community and a fairer economy for all.”
It said while the budget aims to prioritise immediate support for workers and families with measures such as increased cost-of-living adjustments, children’s allowances and tax relief, such measures do not address the root causes of economic vulnerability that leave many families financially insecure.
“Untaxed minimum wages help low-income workers retain more earnings but do not create pathways for economic mobility. Similarly, adjustments to tax bands and temporary relief measures do little to establish a robust social safety net,” it said.
While pension increases were welcomed, the commission said retirees may still struggle to secure a dignified standard of living without significant measures to counteract inflation.
Welcoming higher teacher salaries, improved school infrastructure and expanded community health services, the commission lamented insufficient educational resources and training for teachers to meet students’ diverse needs.
“Collaboration between educational institutions and industries, coupled with targeted programmes for underrepresented groups, would ensure young people have the skills and opportunities needed for success,” it said. “In healthcare, the budget’s allocations — including a new Acute Psychiatric Centre and expanded mental health resources — are commendable. However, mental health concerns in workplaces remain unaddressed.”
On affordable housing, the commission stressed the need for an evaluation system to ensure these schemes are effective and adaptable to changing needs.
“Expanding initiatives further would better address the ongoing housing crisis and provide stable access, especially for marginalised groups. Prioritising these communities would help build an inclusive housing landscape that promotes social cohesion and stability,” it said.
On environment, it said budget’s green incentives reflect a commitment to sustainability, but they often focus on individual choices, rather than broader environmental transformation.
“Promoting sustainable public transportation and reducing car dependency are crucial steps to improve quality of life and tackle climate issues on a meaningful scale,” it said. “
Investments in AI and tech-driven sectors position Malta as a potential technological hub. However, to drive progress, these advancements must align with cohesive urban planning strategies. An integrated approach that combines renewable energy, waste management, and urban planning is essential for achieving lasting environmental justice.”
Concluding, the commission said while the budget addresses key social, economic and environmental issues, many measures only provide incremental relief.
“The Justice and Peace Commission emphasises that short-term assistance must be paired with strategies targeting root inequalities. Continued investment in social infrastructure, secure housing and workforce fairness is essential for fostering a future where every individual can reach their full potential,” it concluded.
READ ALSO: Caritas welcomes Budget social measures but warns minimum wage still low
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