A man walks into your house with a sack. He is not dressed up as Father Christmas. But he opens his sack and starts taking out gifts for you and your children and your parents. You are so impressed. He is so generous. But then you slowly start recognising that what he is giving you are goods stolen from you over the years. He expects you not to be aware of this and also expects to be grateful and tell him “Thank you”.
This story really happened last Monday when Prime Minister Lawrence Gonzi presented his budget granting a Lm1.50 cost of living increase, adjusting the tax bands, children’s allowance and the income for pensioners… after years of raising taxes, removing children’s allowance and squeezing pensioners.
Prime Minister Gonzi mentioned families whenever he announced these measures to increase their income. Where were these families when he increased taxes and decreased children’s allowance? Open-minded people who let facts lead them to conclusions know that in this budget, Prime Minister Gonzi has given back a small portion of what they were forced to pay through the water and electricity surcharge, increased VAT rates and so many other taxes.
Since Gonzi became Prime Minister, the tax burden has risen sharply. The European Commission has reports to show that the tax burden is the heaviest in all the member States. Even Gonzi’s government admits that for every Lm100 that every family had to pay for basic goods and services in its everyday life, it now has to pay Lm116. The measures announced last Monday do not address the problems that many families still have to face when trying to make ends meet.
The amount of money that government is giving back to citizens in this budget is very little compared to the millions taken to finance the extravagant expenditure of PN governments run on “Money no problem” mindsets. What hurts citizens most is that a considerable amount of their taxes did not go to improve the public services of education, health and welfare or to make the country cleaner and more beautiful. So many millions have been wasted in corruption and mismanagement.
For every Lm100 that the Gonzi government has heaped on families as a tax burden, this budget gives back Lm10. Since the last election the Gonzi government has raised the VAT rate from 15 to 18 per cent, even though in the campaign he had promised to keep it at 15 per cent. VAT was spread to 400 items. A surcharge on water and electricity was introduced, and the price of petrol, diesel and gas cylinders went up. The cost of living increased with more expensive telephone calls, bread, milk and ricotta, public transport and eco tax.
In this budget the Gonzi government has not rolled back those measures which continue to squeeze many families and pensioners. Many families will not benefit from the adjustments made to tax bands and children’s allowance and they also have to cope with the rising cost of living with the meagre increase of Lm1.50 a week.
The quality of life of our people does not depend only on half-hearted measures announced on the eve of a general election. Government is insulting the intelligence of citizens by thinking that a few Maltese liri per week can be enough to buy their vote. There are other issues that this government has failed to deal with adequately: corruption, cronyism and incompetence. No wonder that the majority of our people want a change of government at the coming general election.
evaristbartolo@hotmail.com