Issue link: https://maltatoday.uberflip.com/i/1545608
3 maltatoday | SUNDAY • 28 JUNE 2026 NEWS guesthouses and 62 hotels with approved since 2024 new hotels while 2,103 new rooms approved in 158 different applications for guest rooms trast Għajnsielem will see a larger hotel development in the newly approved Fort Chambray whose British barracks are set to be dis- mantled and incorporated into a new hotel comprising 64 rooms and 50 serviced apartments. While hotels have been approved in 16 localities, guesthouses span 31 localities, including non-tra- ditional tourism areas such as Paola (2), Ħamrun (2), Balzan (2), Qormi (2) and Siġġiewi (2). Guesthouses are generally small- scale and often involve restora- tion of historic buildings, such as Ħamrun's Palazzo Atocia, where a 16-room guesthouse was ap- proved last year. In Balzan's Urban Conservation Area, a traditional residence along Triq il-Kbira is being transformed into a 22-room guesthouse following restoration works along with a modest court- yard extension. However, their cumulative im- pact is growing. For example, the nine guest houses and two hotels approved in Rabat will p r o v i d e 101 new r o o m s . Bormla will also see 94 new rooms in its nine new- ly-approved g u e s t h o u s - es, and the six guest houses approved in Ra- bat Gozo will provide 82 new rooms. Guest houses are also flourishing in the rest of Gozo particularly in Xagħra where four new guest houses with 48 rooms and Qa- la where three new guest houses with 48 rooms have been approved. M o r e o v e r , guest houses often involve the take-up of urban gardens earmarked either for building extensions or pool facilities. For example, a pending application proposed along Triq San Ġorġ in Naxxar is proposing the con- struction of a six-storey extension in the backyard of the existing building. The growing number of hotels is also changing the social fabric. For example, one of the new guest houses approved in Valletta involved a change of use of a building previously used as a premises of the Society of Chris- tian Doctrine. The data suggests a dual model. Hotels remain con- centrated in coastal hubs such as St Julian's, Sliema, Gżira and St Paul's Bay, while guesthouses are spreading into a wider range of ur- ban and rural localities. The effects are increasingly visi- ble. The Sliema–St Julian's–Gżira corridor remains one of the most congested areas on the island, with chronic traffic, overloaded buses and beaches, increased pressure on the drainage system and pe- destrian saturation. Valletta is also facing rising pressure on public spaces due to both accommodation growth and visitor density. Malta wakes up to over- tourism A c c o r d i n g to the NSO, i n b o u n d tourists in 2025 reached 4,022,310, up 12.9% on 2024. To- tal tourist expendi- ture was estimated at €3,904.4 million, an 18.6% increase. In 2024, the Malta Hotels and Restau- rants Association warned that Malta could face a 70% increase in hotel rooms if all pipeline projects are realised, raising concerns about oversupply and infrastructure strain in a small island system. For the first time since the tourism boom of the 1960s, concerns are being raised about the impact of tourism on infrastructure, public transport, and quality of life. The Instagram campaign Overtour- isted Malta, launched by activist Michaela Pia Camilleri, highlights overcrowded buses, overflowing waste and congestion in public spaces. Even Finance Minister Clyde Caruana has also warned that Malta is approaching satu- ration, saying the country must prioritise higher-spending tour- ists. Speaking to MaltaToday af- ter Budget 2026, he said there are limits to how many visitors Malta can sustainably host. "If this country ends up attract- ing four million tourists, will it really afford to bring in more peo- ple? If numbers continue to rise, the quality of a holiday in Malta will surely deteriorate," he said. The Tourism Accommodation Regulations approved earlier this year introduce caps aimed at con- trolling scale and density. New or extended hotels above 200 rooms will not be approved, while devel- opments breaching local height limits are effective- ly blocked. Guesthouses are capped at 20 rooms, and short-let rentals face tighter li- c e n s i n g and com- p l i a n c e rules, signal- ling a shift from e x p a n s i o n to high- er-quality, lower-vol- ume tour- ism. Yet, ap- plications for large scale ho- tels continue una- bated. Last month, a 151-room hotel with 322 beds was pro- posed on the site of the GasanMamo insurance building in Gżira. While a hotel is now also being pro- posed in the yet to be con- structed Metropolis high rise project. 12 14 16 18 20 22 24 26 28 30 32 34 36 0.40K 0.50K 0.60K 0.70K 0.80K 0.90K 1K 1.10K 1.20K 1.30K HOTEL BOOM approved permits (Jan 2024 - May 2026)* rooms approved (Jan 2024 - May 2026)* Authority hotels and guest houses

