Mallorca car-hire firms have had to drop prices by 15% this summer

"Reaching last year's income is unimaginable"

Hire cars are at the centre of the debate about tourism sustainability. | Juan Luis Ruiz Collado

Andrew EdePalma31/08/2024 07:05

According to the president of the Baleval car-hire firm association, Julio Nieto, bookings this season have maintained the level of 2023 but only because of a 15% fall in prices.

Expectations for 2024 had been high following the strong 2023 season. But an increased number of tourists in Mallorca and the Balearics this year has not been matched by increased spending. Or so Nieto says, thus echoing sentiment of other complementary sectors such as the restaurants.

German and UK spending, in his view, has been negatively affected by domestic economic conditions, while the summer's sporting calendar is another factor that has restrained spending. Tourists have gone to the Olympics and Euro 2024 and spent money; there has been less to spend once they have arrived in the Balearics. Summers with such events "tend to be like this".

While bookings are much the same as 2023, they are for fewer days, a reflection of the fact that duration of tourist stays has decreased. The average decrease is roughly one day, but this has been noticeable since the pandemic and not just in 2024.

Not anticipating an increase in prices in September and October, Nieto concludes that "reaching last year's income is unimaginable".

Meanwhile, hire cars are a focus for the debate about tourism sustainability, both the Balearic Government and the Council of Mallorca contemplating limits to the number of vehicles entering the island.

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2 comments

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Bernard Court | 7 months ago

It was to be expected that protesting against tourists would result in a drop in tourist numbers. The protests were successful and now the inhabitants will have to adjust.

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Parky | 7 months ago

Thought wanted less tourists and less spend.will prices in bars have to come down ,taxis ,restaurants the same. Residents who rely on tourism out of work or reduced wages. Be very careful what you wish for. Still back to Paguera in September,any demonstrations planned or is everybody back to their secure employment outside of tourism.

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