In Palma, there is more than just a moratorium to consider. There is also the ban on apartment holiday rentals. | Archive

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The moratorium on the issuing of new licences for holiday rentals came into effect yesterday. The Balearic legislation on rentals, approved by parliament on 18 July, was published on the Official Bulletin, at which point laws become effective.

There is now a period of twelve months during which licences will not be issued for any type of property. The island councils and town halls will use this period to determine zones for additional holiday rentals' places.

The government says that in addition to regulating the commercialisation of tourist accommodation, a genuine ceiling will be placed on the number of places available in all accommodation. A "balanced solution" has been sought between addressing housing needs and coexistence between residents and tourists.

According to the government, the ceiling on places, established for the first time, will tackle "the unlimited growth" of tourist accommodation places.

The legislation also creates the means for prosecuting illegal supply, establishes a clear definition of the channels through which tourist accommodation is offered, and demands that a tourism ministry licence registration number is included with property advertisements. If there is no number, the property is deemed to be illegal, leaving websites and owners liable to heavy fines - a maximum on 400,000 euros for websites and 40,000 euros for owners.