Following months of consultation and legislative drafting, Malta’s long-anticipated reform to the Company Service Providers (CSP) regulatory framework has now officially come into effect.
Through Act X of 2025, Parliament has introduced a series of changes to the Company Service Providers Act, its Subsidiary Legislation, and the MFSA’s CSP Rulebook. These changes mark a significant step in Malta’s efforts to tighten supervision, enhance transparency, and align with evolving international standards.
New CSP Classifications Introduced
One of the most notable developments is the creation of two new categories of CSPs, aimed at regulating individuals who were previously operating in a legal grey area.
- Limited CSPs (LCSPs): individuals who provide directorship and/or company secretary services by way of business. Such individuals, who may hold up to ten involvements, are now required to register with the MFSA before offering any such services. A dedicated registration form has been made available on the MFSA’s website.
- Restricted CSPs (RCSPs): individuals providing directorship and/or company secretary services not by way of business, and who may hold up to five involvements. While RCSPs are not required to register, they must now notify the MFSA within fourteen days of accepting a new appointment. This notification must be submitted via the MFSA’s Licence Holder Portal. The MFSA has also published a Guidance Note to walk individuals through the process.
Importantly, anyone already falling within the RCSP definition must regularise their position by submitting the notification form by 16 July 2025.
To ensure flexibility in applying the new rules, the MFSA has retained discretion to determine whether an individual qualifies as a CSP, LCSP, or RCSP — providing clarity where needed.
Strengthened Oversight and New Fees
The reform also strengthens the MFSA’s supervisory powers. The Authority can now refuse or cancel authorisations and registrations, request additional information from applicants, and is empowered to maintain and publish a register of notified persons (RCSPs).
Accompanying these changes are new fees, introduced through Legal Notice 89 of 2025:
- A €250 registration fee for LCSPs
- A €50 notification fee for RCSPs
Amendments to the Company Service Providers Rulebook
In parallel with the above amendments to the Company Service Providers Act, corresponding changes have been made to the CSP Rulebook to reflect the updated legislative framework. The Rulebook now contains new definitions and updated existing ones, particularly brought about by the introduction of new CSP classifications and the expansion of service thresholds.
Introduction of New Rulebook for LCSPs
In light of the introduction of a new category of CSPs, namely LCSPs, the MFSA has published a dedicated Rulebook applicable specifically to these service providers. The Rulebook has been carefully designed to reflect the narrower scope of activities undertaken by LCSPs, while also setting out obligations to ensure regulatory compliance and the proper identification and management of associated risks. The Rulebook applicable to LCSPs may be accessed here.
Individuals and businesses offering company services — whether formally or informally — are encouraged to review their positions and take the necessary steps to comply with the updated requirements.
If you’re unsure whether the new rules apply to you or your clients, or if you need help navigating the MFSA’s registration or notification processes, our team at David Zahra & Associates Advocates is ready to assist.
