Balearic Islands announce triple whammy of tax rises for tourists

The islands, made up of Majorca, Ibiza, Menorca and Formentera, received 18.7 million visitors last year which is more than 15 times its permanent population. File photo: AP/Joan Mateu

Irish holidaymakers visiting the Balearic Islands this summer have been warned to expect higher tourist taxes.

The regional government has announced it is raising the so-called ecotasa visitors pay to stay in hotels and other tourist accommodation to up €6 per person per night. The fee that cruise passengers pay will be tripled from its current rate of €2 to €5. 

A new tax on private holiday cars will see the owners of vehicles registered outside the islands who decide to enter with their vehicles to pay between €30 and €85.

The triple whammy comes after a summer of discontent last year in which thousands of locals marched in Palma during two large demos to protest at the effects of mass tourism.

Smaller protests took place in Ibiza and Menorca along with a number of other actions including the occupation of beaches which campaigners say have become no-go areas for locals and their families.

The measure is expected to impact on car rental companies with vehicles registered outside of the islands that bring in extra cars in the high season. Analysts say they are bound to try to pass on the extra cost to customers.

The creation of the new tax will need parliamentary approval to become law.

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Balearics Islands Tourism Minister Jaume Bauza said: “These islands have reached their limit and the pattern of growth is no longer sustainable and it is essential to deal courageously with the transformation of the model."

The islands, made up of Majorca, Ibiza, Menorca and Formentera, received 18.7 million visitors last year which is more than 15 times its permanent population. This year 20 million visitors are expected to pick the popular holiday destination.

Majorca has been one of the centres of the protests set to continue this year which have seen demonstrators take to the streets to express their anger over the problems associated with mass tourism such as pollution, lack of affordable housing for locals linked to Airbnb holiday rentals and traffic chaos.