Abela dismisses criticism on hospitals concession as ‘biggest lie ever’

Prime Minister Robert Abela says International Chamber of Commerce ruling shows Malta received ‘fair value’ for every cent spent on hospitals concession 

Prime Minister Robert Abela
Prime Minister Robert Abela

Prime Minister Robert Abela has dismissed Opposition criticism on the hospitals concession as "the biggest lie ever created" 

"The highest arbitration tribunal that exists around the world, the International Chamber of Commerce (ICC), certifies in black and white that everything the Nationalist Party has been trying to say from 2023 onwards is a certified lie," Abela said. "For every cent we paid, we received service back, for every cent we received fair value."

Abela was speaking about the ICC ruling issued earlier this week during a Labour Party political activity in Ħal Għaxaq. The Prime Minister said the tribunal ruling showed Opposition claims that Steward took the €400 million and ran away were untrue.

On Friday, the government published the 200-page ruling by the ICC on Friday, following a briefing for journalists at Castille.

In its final outcome, the tribunal ruled that after considering the claims made by Steward and the government’s counterclaims, Malta would have to pay the now-bankrupt American company €4.8 million with interest. 

Abela also described Budget 2026 as the strongest budget in Malta's history, outlining substantial increases for pensioners, students and families.

Budget 2026, presented in parliament in the last weeks, includes €100 million in pension increases alone, with all pensioners receiving a minimum weekly increase of €10, equivalent to €520 annually. Widows' pensions will increase by €13.50 weekly, whilst married couples will see increases between €12 and €14.

The government has also allocated €37 million to address pension anomalies created by the Nationalist administration in 2006, which created two categories of pensioners based on whether they were born before or after 1962.

He also highlighted students will benefit from a 15% increase in stipends, with €6 million in additional funding. “They told us to remove stipends, but we increased them.” He also spoke about the measure for Gozitan students studying in Malta. who will see their allowance rise to €280 monthly, totalling €10,000 over four years.

On the measure which will see new tax bands for people with children, the Prime Minister said this measure will leave over €257,000 in the pockets of families.

Abela criticised the Opposition Leader's alternative proposal, stating it would have excluded 30,000 families with one child from tax relief benefits. 

On tax refund cheques, Abela highlighted how the initiative has grown since former PM Joseph Muscat introduced it in 2018, when €11 million was distributed. The refunds remained at around €11 million annually for three years (2018-2020), but this year the government distributed €28 million in tax refund cheques. 

“Over eight years, the government has distributed €158 million in tax refunds alone,” he said. 

Contrasting Malta's economy with that of struggling European economies, Abela noted Germany's finance minister is discussing benefit cuts for people with disabilities, whilst France cannot form a government to pass a budget. 

He said Malta maintains the strongest economic performance in Europe, with stable energy prices since 2013 and the most attractive investment climate in the country's history.

"Our heart beats with students, our heart beats with families, our heart beats with parents, our heart beats with pensioners, our heart beats with businesses," Abela said. 

He concluded by highlighting the Labour Party in government “is a guarantee that the Gozitan and Maltese people continue to move forward in new prosperity.”