Finance Minister Clyde Caruana has ruled out any new tax measures in the upcoming 2026 Budget, promising stability for households and businesses at a time when many European countries are tightening the fiscal screws.

Speaking during an appearance on Insights on TVM+, Caruana said the government could afford to maintain its current stance thanks to what he described as “the fastest economic growth in the European Union.” This growth, he argued, provides enough fiscal space to keep supporting families and businesses without adding new burdens.

Pressed on the issue, Caruana was unequivocal: there will be no new taxes and no increases to existing ones in the 2026 Budget. “There is no need,” he said, stressing that Malta’s position is a sharp contrast to other EU member states, many of which have introduced tax hikes in response to deficits and debt pressures.

Caruana also reassured that subsidies and support schemes — including those cushioning the impact of energy and cost-of-living pressures — will remain in place. However, he stopped short of detailing whether new measures would be introduced, saying these will be revealed when the Budget is presented in October.

The Finance Minister framed the approach as one of continuity and confidence, signalling that the government sees no immediate need for austerity or fiscal tightening. Whether this optimism will be matched by the numbers in the October Budget remains to be seen.