Last Updated on 6th September 2024
Malta is a fantastic place to live, with contrasts between the bustle and pace of Valletta and quieter, relaxed areas in the Maltese countryside and on Gozo. Many expats choose to purchase a home in high-demand places like Sliema, Naxxar and Swieqi, enjoying a coastal lifestyle close to miles of beaches and promenades.
The archipelago benefits from a warm year-round climate, wonderful cuisine and culture, and countless sites of historical importance, including the Ggantija Temples, a UNESCO World Heritage site, and the astonishing Grandmasters Palace and St John’s Co-Cathedral, dating back to the Knights of Malta and St John.
While the weather, location, lifestyle, and standards of living are all essential considerations, prospective expats planning a move to Malta should also have a clear idea about their long-term living costs to ensure their income and wealth will provide the quality of life they hope for in this Mediterranean island nation.
The Costs of Buying or Renting a Home in Malta
Families often choose to rent a Maltese property when they first relocate, which provides the chance to explore the island, visit the diverse towns, cities and coastal regions, and see which areas are the best match for your aspirations – whether you’d like to be in the heart of the capital close to businesses and schools or picture yourself living in a charming villa with soaring sea views.
However, some foreign nationals opt to invest in a property as part of the criteria to qualify for the Malta Permanent Residence Programme. Either way, budgeting for your accommodation costs is key.
In general, Malta is considered significantly more affordable than the UK, although this may vary depending on where you wish to live and your current place of residence. As an overview:
- On average, rental prices in Malta are 23% lower than those in Britain.
- Property purchase prices are roughly 25% more affordable in central city locations and 23% lower in more rural areas.
- Price differentials are far greater for expats currently living in London, with rental prices in Valletta being more than 58% lower and property purchase costs being up to 61% more affordable.
The average cost per square metre of a one-bedroom central apartment in Malta is €944 (£796) per square foot, compared to £1,063 in the UK. A three-bedroom home outside the major towns and cities costs approximately €1,227 (£1,035) per square metre, compared to £1,349 in Britain.
It is also worth being conscious of utility and running costs. While outgoings like electricity and water are almost 70% cheaper in Malta, cooling and maintaining an older rustic property costs significantly more than a modern, efficient apartment or villa.
Budgeting for Transport and Commuting in Malta
If you are relocating to Malta for work or business opportunities or have school-aged children, you’ll need to factor in the costs of transport. The island is small and easy to navigate, and there is an extensive public transport system that covers almost all of it.
Purchasing a car is also an option, although it is less popular than in other countries due to the island’s small size and the need to use ferry services to visit other islands in the archipelago.
If you purchase a vehicle in Malta, you’ll find that buying a new, compact car costs around 31% less than in the UK, and a luxury family vehicle is around 10% more affordable. In both cases, purchasing a car after your relocation is typically more affordable than shipping a vehicle overseas.
Monthly transport passes cost as little as €15 per person (£12.65), with access to a modern network of bus services, a ferry that runs between Valletta, Cospicua and Sliema, airport services that travel to most localities, and the Tallinja Bike service, where residents can borrow electric bikes from numerous docking stations from €3 (£2.50).
Maltese School and Educational Costs
Families choosing to move to Malta often select an international or private school, although the educational system is considered to have a very good standard, with many schools offering scholarships. Education in Malta is compulsory from ages 5 to 16, although older children can choose to study post-secondary education up to age 18.
State and church-run schools are usually open to all families, and lessons are taught in Maltese and English. However, most state schools teach primarily in Maltese, which can be a challenge for non-fluent children who can opt for private language tuition or enrol in an international school.
Fee structures vary considerably, but the average annual cost for an international school placement for a primary-age child is €8,400 a year (£7,085) – over 50% more affordable than a comparable place in the UK.
Childcare facilities are also widely available for smaller children in larger cities and towns. The average cost is €486 (£410) per month, compared to £1,262 in Britain.
Costs of Healthcare for Expatriates Living in Malta
British expats will almost always need to provide evidence of comprehensive private health insurance to be eligible for a visa or residence permit in Malta. However, private healthcare remains more affordable than in most other countries.
Residents and citizens can access subsidised treatments, services and appointments with capped contributions of €50 (£42) per month, although many still purchase private insurance to access a wider range of options and shorter waiting times.
One of the few living costs in Malta that is a little higher than in the UK is the cost of prescriptions since most medications must be imported. However, a private doctor’s appointment costs just €20 to €50 (£17 to £42) and will often be covered by private health insurance.
Planning Your Relocation to Malta
All of these costs should be factored into your plans and budgets, alongside other everyday expenses and costs such as entertainment, eating out, groceries, and tax obligations – which will also depend on your residency position, income sources, employment status and overall wealth.
For more help budgeting for your move to Malta, understanding the average cost of living in Malta, or structuring your assets and earnings to maximise tax efficiencies, please get in touch with the local Chase Buchanan team based in St Julian’s to arrange a convenient time to talk.
*Information correct as at August 2024