Government pleads for hotel sector to talk to them

Nearly a week after the Majorcan Hotel federation presented the results of an economic impact study of the tourist tax, carried out by Ernst & Young, which concluded that the tax would cost the tourist industry and the local economy some 105'000 million pesetas in lost business, the Balearic Minister for Tourism has been forced to admit that his department is taking the study extremely seriously and will be examining the report. Alomar has also stated that the government has at “no time tried to threaten anybody” during the debates and discussions over the tourist tax which has been met by widespread opposition and is making the reality of the tax being introduced look increasingly difficult. The Balearic Minister for Tourism has again called on all sectors of the tourist industry to take part in the debate, but the hotel sector, bolstered by the negative findings of the impact study, is unlikely to make a u-turn over the tax. Alomar said that despite the fact the tax is already in the parliamentary process, the model for the plan can still be improved - but opponents are not calling for improvements, they are calling for the tax to be scrapped.

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