Rumours that the Balearic government is prepared to back track over the tourist tax should the recession hit the region hard, were quashed yesterday. “The government has no intention of withdrawing the tax,” a government spokesperson said. However, the government repeated its desire to open talks with the hotel sector on the levy. The government appears to be still open to suggestions on how the tax can be improved, but “it is the government which is behind the tax and the government want to see it approved,” a spokesperson said. The hotel sector and the government managed to agree to open negotiations during the World Travel Market in London - but the hoteliers' stance remains the same and they are expected to push ahead with calls for the tax proposal to be withdrawn from parliament. A meeting is set to take place “immediately” but what it will achieve remains to be seen.

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