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Spain approaching 2023 with ‘extreme caution’ amid cost-of-living crisis

Spain expects to achieve more than 80% of its pre-pandemic capacity this year but is approaching 2023 with “extreme caution” as the cost-of-living crisis looms.

In an interview with Travel Weekly, the country’s Secretary of State for Tourism, Fernando Valdés, explained that 2022 was positive – strengthened by an “excellent summer” – as British travellers flocked back after two years of disruption.

He said: “This year is the year that, again, the UK became our main market. Up to September, we have recuperated eight out of 10 visitors from UK that we had in 2019, which was a record year for us. There is a clear message about how important the UK is.”

Spain anticipates that more than 15 million British tourists will visit by the end of 2022.

And, this year, they are spending more – according to Valdés, the levels are expected to match those of 2019, even with fewer visitors.

Despite this positivity, the country is wary of the impact external factors, mainly the cost of living, could have on tourism.

Valdés added: “This year has been good; but we still have to catch up with the numbers of 2019 and we are very cautious.

“This is not a time where we can [ring] the bells given the uncertainty of the recent economic data. We don’t know if inflation is going to affect consumers – we hope not.”

To combat this, Spain continues to invest in campaigns aimed at attracting British travellers this winter – it has spent almost €2 million this year on winter sun initiatives.

Valdés believes this has been a success, with reservations soaring in the Canary Islands and well-trod destinations on the Costa Blanca and the Costa Del Sol.

There has also been an increase in longer stays, something Valdés partly attributes to rising energy costs – he said operators have reported a trend in Brits booking for more time away this winter, while the German market has seen a 60% jump in trips lasting longer than three weeks.

And there has been a move to market destinations traditionally popular with younger people, such as Magaluf, to families.

Valdés said: “Great Britain has a long record of innovation, and we are investing in new technologies in destinations so we can really find out what people want from their experience of Spain.”

The minister hopes to see more people visit less popular destinations, such as Galicia and the Basque Country in the north, as well as try new things, such as food in Valencia and vineyards in Catalonia.

He said: “We want to diversify destinations, increase quality of our accommodation and transportation – we’re investing €3.4 billion in our touristic sector. No other country in the EU is making such an effort.”

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