Just days after the Balearic government announced plans to increase its tourist tax rate for summer 2025, the Mallorcan Nationalist Party, Mes, has proposed introducing a rent-a-car surcharge of between €2 and €7 (£5.87) in an effort to raise funds for public transport.
The surcharge would be levied on the number of kilometres travelled by the vehicle per day: “The more kilometres you travel, the more you pay,” Mes said in a statement this morning.
The move comes at a time when Majorca is trying to fight traffic gridlock, with rent-a-cars being blamed as one of the major reasons for the traffic “saturation”.
In August, tourists were warned of significant disruptions to the island as it struggled with what locals described as “out of control” traffic jams. The roads became so congested, it caused widespread delays and frustration among residents and holidaymakers.
The situation became so severe that local authorities issued warnings to tourists, advising them to plan their journeys carefully.
“Public transport cannot meet the demand we have, just as the road network, water consumption and housing cannot”, said Biel Moragues, president of one of Mallorca’s taxi driver associations. “In the end, everything is out of control. We lack taxi and bus drivers. We are faced with a serious problem with the model. There are so many components that are failing.”
Last week, the Balearic government announced plans to expand the rail network on the island with a new service to Palma airport.
Hoteliers on the popular tourist island have already slammed the increase in the tourist tax, first introduced in 2016, which is set to be increased during the months of June, July and August.
This being the case, some 7.5 million tourists (excluding under-16s which are exempt and those who don’t pay the tax) will be affected.
By contrast, visitors in the low season, between December and February, will pay less tax, which would relate to around 400,000 visitors.
It is not currently known what the new rates will be. For June to August, Mes has called for a doubling of all rates. Currently, tourists to five- and four-star hotels pay €4 (£3.36) per person per day, three for mid-range accommodation, two for cruise passengers, cheaper hotels and apartments, and one for campers and hostel guests, according to abcMallorca.
The 2025 budget is understood to contemplate €136 million (£114 million) revenue from the tourist tax. However this figure does not take into account the adjustments.
President Marga Prohens said in parliament on Wednesday that an increase will “undoubtedly” contribute to improving the region’s financial situation. Were the rate for June to August to go up by 50 percent, this would add €35 million (£29.3 million).
The new proposed hire car surcharge is expected to receive similar treatment from the ruling Balearic government and the tourist industry.