There were several important legislative changes which were published over the course of December 2025. Below is an overview of the key updates across different areas.
Three Acts were published in December 2025. The Small Claims Tribunal (Amendment) Act, 2025, published on the 18th December 2025, increased the limit for claims from €5,000 to €10,000 and introduced procedures placing more reliance on written submissions and remote hearings, and allowing for the reappointment of adjudicators. The Appropriation (2026) Act, 2025, published on the 23rd December 2025, provides for the appropriation of a sum not exceeding €7,152,935,500 to the Consolidated Fund to meet expenditure for the financial year 2026. On the other hand, the Second (2025) Appropriation Act published on the same date, provides for the appropriation of a sum not exceeding €1,052,934,000 to the Consolidated Fund for the service of the financial year 2025.
The Miscarriage Leave Regulations, 2025, published on the 2nd December 2025, established for the first time, the requirements to grant a period of paid leave to workers in the context of a miscarriage, whether such miscarriage occurs in Malta or abroad. Further to this, the Minimum Special Leave Entitlement (Amendment) Regulations introduced “special parental bereavement leave” and updated definitions and entitlements to ensure a minimum of seven days’ paid bereavement-related leave for the death of a child under 18, with employers eligible for reimbursement for the additional special-leave. The Various Laws relating to Periods of Applicability of Exemptions under the Duty on Documents and Transfers Act (Amendment) Order, published on the 12th December 2025, amended the Duty on Donations of Marketable Securities and Immovable Property Used for Business (Exemption) Order (S.L. 364.15) and the Duty on the Acquisition of the Second Immovable Property to be used as Sole Residence (Exemption) Order (S.L. 364.17). The Companies Act (Agricultural Companies) Regulations, 2025, published on the 26th December 2025, established a regulatory framework for the formation and operation of agricultural companies in Malta. These regulations ensure that agricultural companies primarily engage in agricultural activities, generating at least 51% of their revenue from such activities, with the remainder coming from ancillary agricultural activities. The regulations set prerequisites for company formation, including the requirement for at least one director to be registered as a farmer; a minimum of 51% of the issued shares carrying voting rights to be held by an individual(s) registered as a farmer, and for businesses to submit detailed plans and financial forecasts. Furthermore, on the 30th December 2025, the Malta Business Registry (“MBR”), published user guidelines to these regulations, which seek to guide companies, their officers and all stakeholders involved throughout the process.
The Financial Markets (Fees) (Amendment No. 2) Regulations, 2025, published on the 26th December 2025, introduced a new definition for “sponsor” which “means a person providing advice, guidance and expertise to issuers applying, or intending to apply, for admissibility to listing of securities on a local regulated market under the Act, and as may be prescribed”. These regulations also introduced new fee structures for credit institutions issuing covered bond programmes and sponsors.
In addition to the bills mentioned in our previous legal update for November 2025, one bill is currently in progress. The Protection against Adverse Consequences for Persons who recovered from Oncological Diseases (Right to be Forgotten) Bill (Bill 158 of 2025) seeks to implement the “right to be forgotten” for persons who recovered from cancer in order to end adverse consequences against these persons in areas which affect their daily lives, such as in relation to access to banking loans and insurance, or to employment, and to uphold their right to privacy, dignity, and equal treatment under the law.
At a European level, on the 2nd December 2025, the European Council published a press release notifying that the Council and the European Parliament secured a provisional deal on minimum standards for how Member States define and sanction corruption offences in their respective criminal code. The new law also contains measures to prevent corruption and rules for more effective investigation and prosecution. On the same date, the European Securities and Markets Authority (“ESMA”) published a notification that it will launch a Common Supervisory Action (CSA) with National Competent Authorities (NCAs) on conflicts of interest in the distribution of financial instruments. The CSA will assess how firms comply with their obligations under MiFID II to identify, prevent, and manage conflicts of interest when offering investment products to retail clients.
On the 17th December 2025, ESMA released research assessing the impact of its fund naming guidelines on ESG and sustainability-related terms. The study found that ESMA’s Guidelines have improved consistency in the use of ESG terms by increasing alignment of fund names and their actual investment strategies and enhanced investor protection by reducing greenwashing risks.
Further to this, on the 23rd December 2025, the European Commission noted that the CBAM rules will enter into effect on 1 January 2026. This means that those importing more than 50 tonnes of cement, iron and steel, aluminium, fertiliser, as well as all importers of electricity or hydrogen need to have submitted an application or received an authorisation at the time of import. Importers who have not already submitted applications need to act fast now to avoid risking disruptions, delays, or penalties. Applications must be submitted prior to import and at the latest by 31 March 2026 for all concerned import companies.
Locally, the Financial Intelligence Analysis Unit (“FIAU”), in collaboration with the Central Bank of Malta, published a Q&A document providing practical guidance on AML/CFT obligations in the context of instant payments under Regulation (EU) 2024/886 (IPR). In addition, on the 22nd December 2025, the FIAU published a new document titled Application of Simplified Due Diligence by Collective Investment Schemes – Thematic Review 2023, developed in collaboration with the Malta Financial Services Authority (“MFSA”). This publication provides practical, sector-specific insights into how Collective Investment Schemes are applying Simplified Due Diligence procedures when dealing with customers carrying out relevant financial business, whether investing on their own behalf or acting as nominees for underlying investors.
In the financial regulation sphere, on the 3rd December 2025, the MFSA issued a Circular notifying that, in line with the National Strategy for Financial Services which identified family offices as a potential area for growth, an initiative is being launched to continue actively positioning Malta as an attractive jurisdiction for families looking to establish their offices, or a branch thereof, in Malta. Moreover, the MFSA issued a Circular addressed to all market participants within the scope of MiFID II and MiFIR, including investment firms and credit institutions when providing investment services and/or performing investment activities, and market operators including any trading venues they operate. The circular provides stakeholders with key updates on recent developments concerning the MiFID II and MiFIR Review. In addition, on the 15th December 2025, the MFSA issued a Circular to advise on the entry into application of Commission Implementing Regulation (EU) 2024/2984 (“Implementing Regulation”), which lays down the implementing technical standards on the forms, formats and templates for crypto-asset white papers under Regulation (EU) 2023/1114 (“MiCA”).
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