Alberto Jarabo and Laura Camargo of Podemos. They will now be involved in the budget process, and that could mean a rise in the tourist tax.

03-10-2016

Further to yesterday's report regarding environmental taxes being considered for next year, it would seem that there is far more agreement on raising the ecotax (tourist tax) than was being hinted. Each of the three parties in the government "pact" - PSOE, Més and Podemos - is said to be in favour of increasing the tax rate. Tourism minister Biel Barceló had suggested that the rate would be left alone for the remainder of the legislature and that the only modification would be to the systems of settling tax payments from revenue collected by tourist establishments.

This still appears to be the official line coming from the government's executive, but there is an increasing possibility that the tax may go up. The government is planning to increase spending by 10% next year to around 3,800 million euros, justification for this being an anticipated general rise in tax revenues courtesy of economic growth. The forecast at present for tourist tax revenue in 2017 is between 60 and 70 million euros.

PSOE, as noted yesterday, is wanting to avoid additional environmental taxes, ones which both Més and Podemos also favour. These would be directed at companies such as Endesa - a tax on emissions at power stations - Cemex (cement) and Red Electrica (for its high-voltage power lines). The revenue from these taxes would not be that great. A figure of some six million euros has been suggested.

Into the budget-setting process for 2017 has now entered Podemos. The party didn't involve itself with this last year (not directly anyway), but following consultation with its citizens' council it now will.

Announcing Podemos's participation in the "negotiation" for the budget, Alberto Jarabo said that the party will work towards "a true change in the productive model and a rescue of public services". In looking for a "transformation" of Balearic society, Jarabo added that he is asking President Armengol to show the same forcefulness that she has in rejecting Mariano Rajoy as prime minister in producing a "budget of transformation" for the Balearic community.

Armengol, who needs to shore up any potential rift in the "pact" for government, has been looking to distance PSOE in the Balearics from the national party, which may end up allowing Rajoy to continue as prime minister. With Podemos entering the budget-setting process, the pact will appear to have been strengthened, albeit that it is a decision that Podemos has taken and will raise further questions as to who actually governs in the Balearics.

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Mike Solleric / Hace over 3 years

Sorry but I share the same opinion as Wolfgang . I am sure more people think that way but do not bother or do not dare to publish it. I have the same type of approach and related to my region (Port of Soller) I would be in favor not to make the tunnel toll-free ( MDB 13/10° but to raise the price just to keep a certain type of people out Just use it in cases of emergency by emergency vehicles Still dreaming of the time there was no tunnel and no people with their little plastic straw hats placed too high on their heads

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AnnM / Hace over 3 years

Wolfgang has proven the point that money may buy a lot of things but it most certainly cannot buy good manners, courtesy to others and humility to name but a few admirable character traits. On our 30 plus visits to Majorca we have not only enjoyed the beautiful island and its people, made many friends, seen many changes, not all for the better, and have been welcomed back with warmth and been helped through a difficult time, all without having pots of money to spend. I wonder how any Majorcan people will welcome him with open arms for himself and not merely for his money. I am so glad he does not represent the Majorcan.people that my husband and I know and love.

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Tom / Hace over 3 years

Wolfgang you need to get back to the real world it's not your country your just a lodger in it

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Wolfgang / Hace over 3 years

Henry, that's simply untrue and you clearly haven't been to many hotels in Mallorca over the years. Many people on this site have villas and talk like you about Mallorcans losing jobs if tourists go away. The reality is that a huge proportion of workers in Mallorca are from the mainland, Argentina and other South American countries. They wouldnt come here if jobs declined. The impact on Mallorcans if tourism dropped 29/30% would be nowhere near as bad as most of the ignorant people on this site think!

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Henry / Hace over 3 years

Wolfgang. Many of Mallorcas resorts and hotels are behind the rest of Europe in presentation and quality. If you lose the mid range of tourist many on the island will lose their jobs.

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Wolfgang / Hace over 3 years

The working class Steve, Mike and Davers of the world make me laugh. They think Mallorca should be a cheap place that all people from Britain can go to. They treat it like a British colony. Why should low spending poor people have the right to destroy Mallorca's resources. Those people cant afford and aren't welcome to stay in hotels in London, play golf at St Andrews, eat at Le Manoir, go to Henley, have a season ticket at Arsenal etc. The list goes on so many things low spenders are excluded from in your country, yet you want them to pile into our country on mass, spend nothing, use our water and trash the place. I have never known such bigots!

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Steve / Hace over 3 years

Well, if it becomes too full of Wolfgang's rich tourists, we can expect a lot more of the "looky-looky" pals, - the "looky- takey's"" . Not such good news.

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Mike / Hace over 3 years

I see the immigrant Wolfgang has reared his ugly head well said Simon Wolfgang should be in the photo shoot he sounds as gormless as they do

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Simon Tow / Hace over 3 years

Do you think the two imbeciles in the photo, staring at you gormlessly, either realise or even care ?.

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Steve Riches / Hace over 3 years

Hardly a surprise from politicians who always see easy money as a way to impose what they want upon people. Taxes are a necessary way to run a decent society but this tax has always been one where it is a case of getting some easy money then arguing later about how it may be spent; in other words, the greed has preceded the need. If current fiscal conditions persist then any increased tourist tax will be a disaster...even the current level of the tax has only worked because Mallorca has been viewed this year as one of the safest destinations.

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