A 2003 referendum resulted in a 54% majority popular vote in favor of membership in the European Union. The Prime Minister called an early election in April 2003 for a definite mandate from the electorate. The Nationalists returned to power with 51.8% and 35 seats for a second term, and EU membership was confirmed. The Labor party earned 47.5% and 30 seats, Alternattiva Demokratika had 0.7%, and independent candidates were negligible. Voter turnout was 97%.

On February 10, 2004, the prime minister and long-time leader of the Nationalist Party, Eddie Fenech Adami, resigned. Following his election as Nationalist Party leader, Lawrence Gonzi officially became the Prime Minister of Malta on March 22, 2004. Eddie Fenech Adami assumed the Presidency of Malta on April 4, 2004. The next general elections must take place before October 2008 at the latest. The first elections of European Parliament MPs were held on June 12, 2004 and resulted in the election of two candidates from the governing Nationalist Party and three from the Opposition Malta Labor Party. In 1987, the Maltese constitution was amended to ensure that the party that obtained more than 50% of the popular vote would have a majority of seats in parliament and would thereby form the government. Other amendments made at that time stipulate Malta's neutrality status and policy of nonalignment and prohibit foreign interference in Malta's elections.