In May last year, property owners renting to retail, manufacturing or handicraft businesses and reducing the rent they charged substantially were able to write off up to €15,000 against tax, corresponding to twice the amount of the rent reduction granted. This scheme has been extended to this year by the government.

Finance minister Pierre Gramegna (DP) said the measure has been effective in enabling companies to reduce their fixed costs.

A bill will now be sent to parliament.