Labour pledges €30 million investment fund for restaurants

Labour Party officials have announced a €30 million investment fund for restaurants as part of a series of tourism-related pledges.

Speaking during a Labour Party event, Deputy Prime Minister Ian Borg, Parliamentary Secretary Alison Zerafa Civelli and Labour MP Cressida Galea said the fund will support restaurants seeking to upgrade their product, improve customer experience, train staff or renovate their establishments.

Independent restaurants will be eligible for grants of up to €300,000 each through the scheme.

The announcement formed part of a wider package of measures focused on tourism, hospitality and local infrastructure.

Government also confirmed that the eco-contribution charged on tourist overnight stays will increase from 50 cents to €1.50 per person per night from 1 July 2026.

Under the new system, 50 cents from every contribution collected will be channelled directly to local councils, with allocations based on the impact of tourism activity on each locality.

The government said the tourism sector’s strong performance, including during the shoulder season, had prompted a shift towards incentives aimed at improving quality standards in existing accommodation.

Tourism operators investing in the renovation and upgrading of accommodation facilities will be able to benefit from a new tax credit scheme designed to encourage higher standards and improved guest experiences.

The government also pledged further investment in Grand Harbour infrastructure as part of plans to expand Malta’s home-porting operations and attract more luxury cruise liners.

Officials said Malta had become a strategic pillar in the Mediterranean cruise industry, with nearly one million passengers using the country’s ports every year. They added that cruises starting or ending in Malta generate greater economic value for the local economy.