The newsstand in Plaça Mercat. | Javier Jiménez

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Agreement has been reached between Palma town hall and the company that operates the six newsstands in the city that will allow the newsstands to remain open.

The concession held by Nova Area will expire on August 17. The company has said that the newsstands are no longer financially viable. This is due to a fall in sales and to the amount that the town hall charges for the concession - 90,000 euros per annum.

Under the agreement, the newsstands will remain open on a provisional basis while the town hall draws up new contractual specifications that will make them more profitable. These will include additional services. One that is under consideration is the sale of food and drink.