Business fears

The rhetoric from our new left-wing coalition government must be causing some concern especially amongst big business: tax the rich and pay the poor, the tourist tax and two big building projects (the convention centre and the massive shopping complex in the Playa de Palma) on hold while a legal investigation is launched. Balearic leader, Francina Amengol, says that she wants a fairer system for the Balearics, helping the poor by taking from the rich. But of course there are dangers. Investment could dry up. Already the hoteliers are talking about delaying important redevelopment plans because of the tourist tax. They fear that holidaymakers will go elsewhere as a result of the surcharge (or at least that is what they are saying in public). The islands badly need investment from outside; in fact the local economy will not survive unless the foreign millions continue to flood in. You do get the impression that Amengol´s government is not big on big corporations. If you are just about to invest a sizeable chunk of your wealth in the Balearics then you want reassurance that it will not be bogged down in new legislation or hit with a hefty new tax. The Balearic government needs to have a proper strategy for business and put their cards on the table. Big business is welcome in the Balearics should be their message. At the moment there is some concern amongst business leaders and Amengol is doing little or nothing to ease their fears.