Building slowdown

The building freeze which has been imposed by the local authorities is starting to take a hold on the Balearics and this year 15 percent fewer building applications have been received. The forecast is even worse for 2002 with the industry, the second biggest in the Balearics after tourism, going into recession. Both the Balearic government and the Council of Majorca have introduced a major building freeze with many projects being shelved or postponed. Last year there was a one percent drop in building applications. Building firms say that they are facing a difficult time. Construction companies are some of the biggest employers in the Balearics and their ranks have recently been swollen by the arrival of immigrant workers from the mainland. The five party coalition government came to power promising to end mass construction.