Hotel chains will start to shut down from next Sunday, August 23 after an extremely tough season for the Sector.
Many are hoping the closure will be temporary and that Covid-19 health data will improve enough for them to reopen in the Autumn, but according to the Association of Hotel Chains President, Gabriel Llobera, the chances of that happening are slim.
All German Tour Operators cancelled their holiday bookings after Germany advised its citizens not to travel to the Balearic Islands and nearly 30,000 German tourists are now being repatriated.
Llobera stressed that the Hotel Sector made a huge effort to adapt to the necessary health protocols and tried its best to save the season, saying that it was a "pity" that the behaviour of certain "local groups” had caused coronavirus infections to skyrocket and provoked the German Government's decision.
One of the areas that will suffer the most from the lack of German tourists is Playa de Palma, where around half of all hotels were open in July with an average 45.5% occupancy.
The number of guests at hotels in the area was forecast to drop to around 43% in August, but the early closure of hotels will cause a much steeper decline.
Tour Operators have cancelled all holidays in the Islands, but flights are still operating and there were 154 arrivals and departures between Son Sant Joan and Germany on Sunday, although a number of passengers did cancel their flights to Palma at the last minute.
The Government still believes that tourism can be reactivated in the autumn if the Covid-19 health data improves and has vowed to continue to establish safe corridors as soon as possible.