Trade welcomes Majorca tax U-turn

OPERATORS have welcomed the election of a new Balearic
government which plans to scrap the eco-tax and rebuild ties with UK trade.

The previous left-wing government, which introduced
the tax on May 1 2002, was voted out of office on May 25. The eco-tax –  a fee of one euro a day per person on stays
at hotels – will end once legislation is introduced.

TUI northern Europe chief executive Peter Rothwell
said the decision to abolish the eco-tax by the centre right Popular Party was
a positive move for British holidaymakers. “The Balearic eco-tax was not
received gratefully and the actual administration of the tax was proving to be
difficult,” he said.

First Choice long haul and Unijet general manager John
Riley said the end of the tax could have an immediate effect on bookings.

“Clients resented it because was an extra they had to
pay, and it affected their decision to travel to the islands,” he said.

Riley added he welcomed
efforts by the incoming government to establish meetings with UK tour operators
to look at rebuilding business. At least 1.5 million British holidaymakers
visit the islands annually.

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