Balearic Islands Experience Significant Tourism Slump
Tourism officials in Spain have issued a stark warning after a troubling start to the year, with the Balearic Islands—home to popular destinations like Majorca, Ibiza, and Menorca—seeing a notable decline in restaurant patronage. Data from Delectatech reveals a 3% decrease in customers during 2025, primarily attributed to escalating prices across the islands.
Regional Disparities in Tourism Impact
While other Spanish regions, such as the Basque Country and Catalonia, recorded only a 1% drop, the Balearic Islands faced a more pronounced reduction. Although the percentage may seem small, it represents a substantial blow to an industry operating on narrow profit margins. Mainland areas like Castile-La Mancha and Extremadura, offering more affordable dining options, actually saw growth in custom, suggesting consumers have hit a price ceiling.
Juanmi Ferrer, president of the CAEB Restaurants Association, described January 2026 as a "disastrous" beginning and predicted the year might mirror or even worsen 2025's performance. He emphasized that restaurant owners are reluctant to raise prices further, as it drives away customers, and they aim to absorb inflation increases of three to four percentage points where possible.
Government Response and Local Initiatives
In response to the downturn, the Balearic government is considering a restaurant discount program similar to one for independent retailers, which provides residents over 16 with vouchers to boost local spending. This comes amid growing unrest, with anti-tourism protests drawing thousands in Majorca in June 2025, demanding action against overtourism.
Last summer, reports indicated some Majorcan resorts were "completely dead," with Miguel Pérez‐Marsá, chairman of the nightlife association, noting that desired tourists feel unwelcome and are opting for other destinations. At the World Travel Market in London, Ibiza's Tourism Minister, Jaume Bauza, acknowledged a decline, with 20,000 fewer British tourists during the 2025 peak season compared to the previous year.
Shifts in Tourist Behavior and Local Concerns
Industry experts suggest some holidaymakers may be rescheduling trips to October and November to take advantage of lower rates. Despite the recent dip, the Balearic Islands have enjoyed record tourism years post-Covid, with Brits and other Europeans flocking in large numbers. However, the local community in Ibiza has raised alarms over the rise in high-end tourism, which has driven up living costs and led to workers living in makeshift camps.
Sofìa Ribas, founder of (Ma) Learning Lab for Sustainable Transformation, expressed concern that Ibiza is losing its essence, becoming increasingly dominated by VIPs and luxury tourism, alienating long-time residents. This sentiment underscores the broader challenges facing the islands as they balance economic benefits with sustainable tourism practices.
