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Mallorca restaurants warning of "hundreds of closures," Soller, Port Alcudia and San Telmo hit hard

A now familiar story of lower tourist spending

Palma Paseo Marítimo terrace | Photo: Tomás Montes

| Palma | |

Juanmi Ferrer, president of the CAEB Restaurants Association in Mallorca, is warning that "hundreds of restaurants will close this year; the summer hasn't been good".

"The situation is very difficult. We are very worried about businesses' bottom lines. Many won't be able to survive. We haven't had such a bad summer since before the pandemic."

Ferrer points out that May was poor, especially because of bad weather, that June wasn't good either and that the trend is continuing this month. "At night, it gets a little livelier than for lunch, but nothing like other summers." He states that on average the number of customers has dropped between five and six per cent, but highlights the cases of places such as Port Soller, Sant Elm, and Port Alcudia, where numbers are said to have dropped by some 40%. "We've gone from being full to having occupancy rates that don't exceed 60 per cent."

In Palma, the most worrying situation is that of the Paseo Marítimo. "This summer we have fewer customers than last summer - around 20 per cent. The situation is desperate for some. The month that has always been the best of the year is failing to take off."

Although Palma is full of tourists, Ferrer says the vast majority don't go to restaurants; "they are known as sandwich tourists". It is estimated that the number of customers in the city's restaurants has fallen by an average of eight to ten per cent.

Visitors have the same budget for their holidays, but - and this was a familiar complaint last year as well - hotel and flight prices have increased. "Tourists have less money in their pockets and have to cut back. They're cutting back on everything - fewer dishes, wine, and so on." On average, spending per table has dropped between 10 and 12 per cent.

The restaurants, meanwhile, "are paying more taxes, rents are higher, food prices are constantly rising, and salaries have also increased due to the new collective agreement". "Many businesses won't be able to make ends meet."

Last year, 370 businesses closed, there will be more this year, Ferrer having been been warning about the problems affecting the restaurant sector in Mallorca for some time. "There is a restructuring process affecting all businesses, except for the very low-end. We've reached the point where in Port Soller there are restaurants that are giving their staff holidays in the middle of July."

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