End of Year Message – Michelle Muscat

‘Our Establishments Are Committed to Improving Quality Matching the Expectations of Higher-Spending Tourists'

ACE President Michelle Muscat outlines upcoming challenges for the HORECA industry while maintaining optimism for the upcoming year.

During 2025, the Association for Catering Establishments (ACE) conducted several surveys among our members, stakeholders, and customers.

These have given us valuable insight into where we stand as a sector and we now know more clearly what our challenges are.

And, just as importantly, what our customers expect from us.

One key takeaway is that the majority of our customers are local; these are the highest spenders.

Interestingly, while tourists generally feel that Maltese restaurants offer value for money, locals tend to perceive us as slightly more expensive compared to nearby destinations such as Sicily.

The truth is, we are more expensive, and with good reason. Our commercial rents and labour costs are significantly higher, and we import over 70% of our produce, whereas in Sicily, only about 8% is imported.

This year has brought its fair share of challenges: the introduction of the Skills Pass, BCRS requirements, rising waste collection costs, and - of course - the continued burden of VAT.