MALTA VS EUROPE
The Office Market Benchmark. Why the “City of Malta” is the smartest relocation move for your business in 2025.
The “Dispersed City” Concept
When evaluating relocation, it is a mistake to compare Malta (a nation) solely to other nations. With a surface area of just 316 km² and a highly integrated infrastructure, Malta functions as one cohesive metropolitan unit.
From the commercial hubs of Sliema and St. Julian’s to the administrative capital of Valletta, the distance is negligible compared to crossing London or Paris. Therefore, to truly understand the value proposition, we must compare Malta directly to Europe’s major business cities.
Prime Office Costs
The most immediate determinant for relocation is overhead. Here, we analyze the Prime Rent per Square Metre per Year across key European business capitals.
While London’s West End and Paris CBD command astronomical fees, Malta offers comparable Grade-A office specifications at a fraction of the cost, freeing up capital for talent acquisition and R&D.
A 500sqm office in London could cost €800k/year. In Malta, the same high-spec footprint costs approx €175k/year.
Source: Industry Market Data 2024/25 (Approximate Prime Values)
The Holistic Business Score
Rent is only one factor. We’ve indexed European hubs based on five critical success vectors for modern companies.
Cost Efficiency
Combines rent, labor costs, and operational overheads. Malta leads with significantly lower input costs.
Tax Environment
Malta’s full imputation system can result in an effective corporate tax rate of just 5%, compared to 25%+ in standard EU jurisdictions.
Lifestyle & Weather
With 3,000 hours of sunshine annually versus London’s 1,600, employee wellbeing and retention potential is higher.
English Proficiency
As a co-official language, business in Malta is conducted entirely in English, removing the friction found in Paris, Milan, or Berlin.
The Bottom Line: Tax Efficiency
While many European nations offer specific rebates, Malta’s tax refund mechanism is unique.
Standard corporate tax is 35%, but upon distribution of dividends, shareholders may claim a refund of 6/7ths of the tax paid. This distinct system effectively reduces the tax burden to 5% for trading companies, making it the most competitive fiscal environment in Europe for international business.
The Verdict
The data is clear. If you treat Malta not as a small island, but as a high-efficiency European city, it outperforms the competition on cost, fiscal structure, and lifestyle. For companies looking to optimize their European footprint, Malta isn’t just an alternative; it’s the benchmark.
