Malta has launched an unusual new mobility programme offering drivers up to €25,000 if they agree to give up their cars and surrender their driving licences for five years.

The initiative is part of the government’s broader effort to tackle worsening traffic congestion across the Mediterranean island nation, where rising car ownership has become a growing infrastructure challenge.

Drivers Receive €25,000 Over Five Years

Under the programme, eligible participants will receive €5,000 annually over a five-year period rather than a single upfront payment.

The staged payment structure was designed to prevent participants from immediately reclaiming their licences after receiving the financial incentive.

Authorities said around 100 people have already joined the scheme since applications opened.

Programme Targets Younger Residents

The offer is available only to drivers under the age of 30 who have lived in Malta for at least seven years.

Participants must surrender their driving licences and commit to remaining car-free throughout the five-year period.

Those who successfully complete the programme and later decide to regain their licences will be required to complete 15 hours of practical driving lessons to refresh their driving skills.

Malta Faces Growing Traffic Pressure

The initiative comes as traffic congestion continues worsening across Malta, one of Europe’s most densely populated countries.

According to official figures, more than 100,000 people aged between 18 and 39 currently hold driving licences in the country.

With a national population of roughly half a million residents, the number of vehicles on Malta’s roads has continued increasing by several dozen cars daily.

Authorities Push Alternative Mobility Solutions

Malta has been exploring a range of transport initiatives aimed at reducing car dependency, lowering emissions, and improving urban mobility.

Government officials hope the financial incentive programme will encourage greater use of public transport, walking, shared mobility, and other sustainable travel options.

Global Cities Increasingly Experiment With Car Reduction Policies

The Maltese initiative reflects a wider international trend as governments and cities experiment with policies designed to reduce private vehicle use in heavily congested urban areas.

Transport authorities worldwide are increasingly introducing low-emission zones, congestion charges, car-free districts, and financial incentives aimed at shifting residents toward alternative forms of transport.