Despite recent comments stating that the cost of living in Malta is similar to that of major European cities, including London, this is not the case.
Malta was seen to be situated in the middle region of the list over a collection of studies carried out on rental prices over Europe.
Being one of Europe’s fast-growing economies has caused the local property market to be on the rise. Thanks to the introduction of the Individual Investor Programme (IIP) in the November 2013 budget and the stamp duty exemption introduced for first-time buyers, the demand for housing has increased. Furthermore, other factors that helped to increased the demand for housing in Malta include:
- The low-interest rate environment;
- Growth in disposable income;
- Increased number of foreign workers.
The Cost of Living Index is calculated by assigning a value of 100 to a central reference city, which in this case, happens to be Prague, and then comparing other city’s cost of living to that of the central reference. The Cost of Living Index for Malta was found to be 130. This means that it’s 30% more expensive to live in Malta than it is to live in Prague.
Compared to sought after European cities (information gathered on 22nd March 2019 from Expatistan):
The information above may come as a surprise to those who often find themselves comparing the cost of living in Malta to that of major European cities, such as London and Berlin. Malta still remains in the lower half of the list comprising of 108 European cities, despite the evident increase in living costs and housing prices.
The sudden increase of prices on the Maltese Islands is linked to an increase in the demand to live and work there, together with the need to supply to it. Therefore, despite the controversy surrounding the topic, the island still remains a hub for businesses and expats, especially those in the Financial sector or the iGaming industry, however, still provides affordable living costs when compared to other large cities.
If Malta seems like an interesting opportunity for you, contact us at EU Travellers. We work to provide intern opportunities in a variety of industries over the Maltese Islands, together with suitable accommodation.
For more information, feel free to call us on +356 2033 1234, email us on email@example.com or contact us through our Facebook page.