by Andrew McQuarrie and Juliet Dennis
Major agency groups have expressed confidence that a proposed increase in the tourism tax for the Balearic Islands would not negatively impact bookings.
However, a handful of agents cautioned that the planned increase would prompt some clients to seek alternative destinations.
Under the plans, the tax would rise for June, July and August but would be scrapped for January and February, with the scale of the increase ranging from 66% to 200% depending on the property.
Stephanie Slark, director of membership services at The Travel Network Group, said: “From conversations with our members, we don’t foresee a significant drop in bookings due to the tax increase.”
More: Balearic Islands plans to hike sustainable tourism tax in peak season
Barrhead Travel was similarly bullish about any impact, with managing director Nicki Tempest-Mitchell saying: “Tourism taxes have been on the rise for the last few years, so I don’t think the latest tax in the Balearics will have an impact on bookings. Most people will accept them.”
Paula Gleeson, head of business and commercial at Seaside Travel, said: “We don’t think this will put our customers off at all. If people want to go and the price is right for the holiday, they’ll definitely book it.”
Ted Wake, managing director of short-break operator Kirker Holidays, said: “Our customers do expect to pay a local tax of one sort or another and are happy to pay.”
Other agencies were more wary of tax rises, with Dumfries-based Border Travel retail manager Gary Jardine unable to rule out a dip in bookings.
Both he and Braunton Travel owner Sue Hunter said there was a chance that alternative destinations would be favoured by travellers.
“Customers are pretty savvy and they’ll look at the overall price of the holiday incorporating the taxes,” said Jardine.
“We’ll have to wait and see what the impact is. Greece and Portugal might pick up some business on the back of this.”
He added: “No [cost] increases of any sort are ever welcome and people’s budgets are already difficult.”
An Abta spokesperson said: “We have written to the Spanish and Balearic authorities seeking more details on the proposals and will inform members once we have received an update.
Manuel Butler, director of the Spanish Tourist Office, said: “Spain is proud to be the number one destination choice for British holidaymakers and remains committed to offering an exceptional holiday experience while ensuring that tourism benefits both visitors and local communities alike.
“However, We need measures in place so that we can maintain this balance between a thriving tourism industry and the wellbeing of residents.
“The proposed regulations in the Balearics, including adjustments to tourist taxes outside of the winter months, reflect the local government’s ongoing efforts to build upon a sustainable tourism model.
“These initiatives aim to protect the region’s natural and cultural heritage while ensuring a high quality of life for residents and a memorable stay for visitors. We welcome discussions that support the long-term sustainability of tourism across Spain.”