Madrid.—Joan Molas, the President of the Spanish Hotel Federation was highly critical of the fact that funding for the Tourism ministry is seriously undermined in the State budget for 2013.

Molas said the future of the industry will be “jeopardised” as it struggles to keep its head above water faced with higher airport landing fees and the increase in VAT in tourist businesses.

Speaking at an event commemorating the 50th anniversary of the inception of the Institute for Tourist Studies (IET) held at the Congress Palace in Madrid, Molas said that although there may be specific resorts where 2012 will end up being particularly profitable, “it is not the case at all in general terms.” He also pointed out that greater numbers of tourists were not necessarily related to profitability.
The CEHAT President claimed that over the last three years, government investment in tourism had declined by 72 percent, and with regard to a further decline in the Tourism budget next year, Molas asked how could the Spanish Tourist Board expect to be successful in attracting foreign visitors without funding?