No short term holiday lets.

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The Council of Mallorca is launching a major campaign against illegal holiday lets within Palma with owners facing fines of up to 40,000 euros.

Short term holiday lets in the city are banned by the council although it is believed that the practice is still widespread. Inspectors from the Council of Mallorca have been checking websites and tourist forums to try and catch owners who are renting out homes and apartments illegally. The Palma city council decided to take action over holidays lets in an effort to keep long-term rents under control and to try and ease the shortage of rental properties with long contracts.

A council spokesperson explained; we decided to take action because there was a shortage of longer term rental properties with owners offering their properties to tourists for short terms because it was far more lucrative."

The move caused an outcry in some quarters with bar and restaurants association says that short-term holiday rentals by tourists were giving the city a cash injection.