Tourist spending and flight suspending

Tourism in Mallorca rocketed this summer, and yet bars and restaurants say tourists are spending less. What´s going wrong?

Over 10 million tourists chose to holiday in the Balearics this summer, even before August began, with 2.5 million international tourists visiting the islands within the month of July, which in Mallorca meant a 5.03% rise from 2023 [Balearic Institute of Statistics, IBESTAT]. Coupled with this, The National Statistics Egatur Survey reported a 13.6% increase in tourist spending within the first 6 months of the year, with over 8 million euros being brought to the economy through the tourism industry. The Confederation of Balearic Business Associations represents all big employers and disagreed to some extent, stating that the local economy expanded by 2.8% between April and June rather than the national average of 2.9%, but did emphasise that statistics for the first three months of the year demonstrated a 3% growth to the economy across the Balearics.

However, despite these statistics, owners of local businesses, particularly bars and restaurants, have reported a significant reduction in income of some 20%. Partly responsible for the conflict in statistics is the fact that the Egatur survey doesn’t specify precisely where the money is being spent. With hotel prices soaring and whilst all-inclusive holiday packages continue to attract tourists looking for a better deal and a cheaper summer break, it seems that the locals, whilst trying hard to make a living, are suffering.

Southampton suspends flights

Holiday makers living in the south of England who were hoping to visit Mallorca in 2025 are set to be impacted by a new decision made by British Airways, as the airline announced that it is suspending all flights from Southampton airport next summer, including those to the popular Balearic holiday destination. Eleven domestic and European routes are affected by the decision, including Dublin, Malaga, Bergerac and Faro.

This comes just three years after the airline announced flights to these destinations with great anticipation in 2021, declaring the new routes to be an `exciting´ addition to British Airways´ services by opening up opportunities for those living on the south coast.

However, the airline´s enthusiasm seems to have been short lived, with the grounding of these routes a mystery, as British Airways has not currently declared a reason for the decision [Natalie Wilson, The Independent, 23/09/2024]. However, a spokesperson for British Airways has confirmed that all customers with flights already booked have been offered compensation, including either a full refund or rebooking with British Airways or with an alternative airline.

The strike by French air traffic controllers back in April had a lasting negative effect on flights, with airlines such as Ryanair and Easyjet in particular being affected by flight disruption and delays [Simply Flying]. Other factors such as staff shortages, extra airport taxes being imposed, and the rising prices of fuel, have all been cause for concern for airlines this year.