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Hotels criticise new tax

Balearic Islands

Balearic IslandsSpain’s Balearic Islands, which include the popular tourist destinations of Mallorca, Menorca and Ibiza, have approved a hotel and cruise ship tax to raise funds to promote sustainable tourism and protect the environment, Reuters reported.
Tourism makes up around 11 percent of Spain’s economy and a record number of international visitors are expected to have visited in 2015 as sun seekers sought budget-friendly alternatives to troubled Middle Eastern destinations.
The Mediterranean islands of Spain’s east coast were the country’s third most popular tourist destination last year after Catalonia and the Canary Islands.
The regional government will charge between 0.25 euros and 2 euros (US$0.27-US$2.18) per night for each tourist over the age of 16 staying at hotels or on cruises that dock at the islands.
It hopes to earn between 70 and 80 million euros a year from the tax, revenue that will be used to protect the islands’ environment and boost sustainable tourism, a spokeswoman said. The tax is expected to begin from June of this year
The Spanish Mallorca Hotel Business Federation has criticised the tax, saying it could damage the islands’ competitiveness.