Showing posts with label Licences. Show all posts
Showing posts with label Licences. Show all posts

Sunday, January 08, 2012

Total War: The tourism law

I hope I can be forgiven for highlighting issues to do with the proposed new tourism law. The reason for doing so is that it is of major importance, and there is now a second reason - the extent to which it threatens to drive a huge wedge between the Mallorcan business community and also between the regional government and the town halls.

Opposition to the law has been pouring in from all quarters. Bars and restaurants, as represented by the business confederation CAEB, have now added their voice to criticisms that the law is a law for the hotels and that it is discriminatory and anti-competitive.

A consequence of the law is that a new term has emerged: "total hotel". The total hotel would be one in which there would be few limits as to what the hotel could provide, and provide, moreover, without the need for obtaining licences and to the general public as well as guests.

The Mallorca Rocks hotel in Magalluf is an example of where the new law may lead. Mallorca Rocks' concerts are open to the general public, and while permission that the hotel was finally granted by the tourism ministry last year was good news, it didn't stop fears being expressed as to the precedent, one that now seems to be enshrined in the tourism law.

Opposition to Mallorca Rocks came from the entertainment sector in Magalluf that saw the hotel as a competitive threat, even though it didn't really amount to one. There wasn't a lot of sympathy for the opposition - well, there wasn't from me, that's for sure - but one can now begin to see that this opposition had some basis over and above other businesses simply trying to put a stop to competition, real or imagined.

The range of activities that hotels might now be able to offer goes way beyond a weekly music concert. It could include anything from discos to religious services, open to anyone. The "total hotel" concept is apt.

This said, as it stands certain activities are already open to the general public. Whether they should be is probably another matter, but evening shows, for instance, most definitely do attract passing trade. What the law would do, however, would be to formalise this. If the result is that even small hotels end up providing all manner of activities, you can understand why businesses outside hotels are none too happy.

That hotels might be able to engage in these activities without going through the rigmarole of obtaining licences is what is getting backs up at town halls. Palma had already expressed its concerns and now Santa Margalida (for which read Can Picafort) has added its opposition. The town halls' anxieties are two-fold. One is that the law will create a two-tier system with hotels the "first-class citizens" of the local tourism industry benefiting to the detriment of other businesses, the "second-class citizens". Secondly, the law would cut out some town hall local planning responsibility.

The town halls could be accused of defending their territory - literally as well as abstractly - and therefore part of the reason for their existence. It could be argued, though, that cutting out town hall bureaucracy would be no bad thing. If they were able to demonstrate that they were genuinely trying to support the "second-class citizens" or had been able to demonstrate this in the past, there might be more sympathy for their position. As it is, there is a feeling that they are trying to cling onto power when it comes to planning.

Whatever the town halls' motivations, it is becoming increasingly evident that the government has got a fight on its hands. Non-hotel business is allying with the town halls in raising strong opposition to the government. While Santa Margalida is not a Partido Popular administration, Palma is, and there are major tourism centres, such as Calvia and Alcúdia, that are also controlled by the PP. If they were to adopt a similar attitude to that of Palma and Santa Margalida, this would open up another front in what is beginning to look like a war that the government is embarking upon. Business, which might be more inclined to support the PP, is similarly being alienated.

The tourism law, for all that it is the government's flagship policy and for all that it has much to commend it, could yet be undone. Or if it isn't, it could yet be, more than battles over language policy, the government's undoing.


Any comments to andrew@thealcudiaguide.com please.

Tuesday, July 05, 2011

No Hope: Private holiday lets

Justin in Paris has made 90,000 dollars. Daren in London has raked in 100 grand. In Mallorca, you can expect to coin in 2003 euros per month.

An advert on a Facebook page demanded a damn good clicking. Make money in Spain, it said. Rent out your place to travelers (all American travellers, therefore, as they are lacking an "l") and make 75 euros+ per night. Interesting, I thought. Not because I want to rent out to travelers or even travellers, but because it is quite possible that anyone wishing to - in Mallorca - shouldn't.

On the site, there was Daren, relaxing, sound in the knowledge of the 100 grand he had made. Novi from San Francisco was smiling, thanks to her 30,000 dollars. Justin looked suitably satisfied with his ninety thousand.

The 2003 euros was the calculation for a month to rent out an apartment in Palma or Pollensa. I went and had a look. Was anything actually available in Mallorca? Yes. Not much, but there were some places. By the night or longer. Some with photos, some without. Not having a photo doesn't really "sell" a place, but there might be good reason for there not being a photo.

It's kicking off again. The periodic wielding of the holiday-rental stick. The tourism ministry and friends at the tax authorities are spending their days in earnest perusal of websites, mainly British ones, seeking to identify properties for holiday rent. An announcement was made last year that web pages in particular would come under scrutiny, and a similar announcement has been made this year as well.

John Lance, in his letter to "The Bulletin" (Saturday, 2 July) made the point well enough, as he has in the past, about the lunatic situation in respect of holiday lets in Mallorca. The "grey area" he referred to isn't really all that grey. Want to now license your property for holiday rental? You can't.

There are plenty of properties which are licensed but they date back to and before the registration of, when was it, three, four years ago. Even then, however, there was massive confusion, and the dice were heavily loaded against apartment owners. The greyness of the situation is especially so with apartments, but it isn't so grey if you accept the version which states that you cannot rent out private apartments as holiday lets at all.

The tourism ministry has wielded its stick. In February, there were reports relating to action taken against owners of apartments in Santa Ponsa, to what was being offered, and to the fact that the apartments were being advertised via a UK website. And then there were the fines. Up to 30,050 euros.

We know the arguments in favour of more relaxed rules on holiday rentals: not everyone wants to stay in a hotel; tourists in private apartments and villas tend to spend more; a mix of accommodation types reflects the diversity of the tourism market. We know the hoteliers' arguments against: they have the hoops they have to go through; they invest heavily; they are a key source of employment. Like the endless all-inclusive debate, none of the arguments are new.

The hoteliers can, however, be somewhat disingenuous. When the Santa Ponsa reports were coming in, the head of the local hoteliers' association said that the competition from private apartments was unfair. Yes, but turn it around. Owners could argue the case of restriction of trade and of unfair competition that denies them the chance to properly register and market their properties.

As John Lance remarked, this could all end up with Europe getting involved. But for property owners, the problem is the lack of any co-ordinated voice. The hoteliers know this, and so, as importantly, does the Balearic Government.

It might be remembered that the hoteliers, well before the elections, expressed concern as to the appointment of Carlos Delgado as tourism minister. Now they express contentment, and Delgado, who one might hope might be more willing to throw off the shackles of trade restriction, has announced his intention to collaborate with the hotel sector in making the tourism law more flexible. And one aspect of this is the residential use of tourist establishments. Owned by the hoteliers, I think we can assume this to mean.

Just as is the case with its dealings with the major tour operators, a government in the Balearics, be it PP or PSOE, cannot afford to alienate the hotel sector. If there was hope that the private rental market might be treated more favourably by the new government, then I'm afraid it was probably a forlorn hope. And it will remain one.


Any comments to andrew@thealcudiaguide.com please.

Monday, June 06, 2011

MALLORCA TODAY - Calvia town hall to be denounced over Mallorca Rocks

As flagged up two days ago, Acotur, the tourist business association, has said that it will issue a "denuncia" against Calvia town hall for the granting of licences which permit the concerts at the Mallorca Rocks hotel. Acotur argues that the town hall has hidden information from authorities, i.e. the interior ministry and the Council of Mallorca, and that the concerts represent a health and safety risk.

Tuesday, December 14, 2010

Bouncy, Bouncy: Regulation of bouncers

The bouncers of the Balearics are going to have to go back to school. The regional government is proposing a law that will require bouncers to undergo an official course and to pass a test that will gauge both physical and psychological abilities to do the job.

The requirements for being accredited are wide-ranging, from understanding rights under the Constitution to being able to resolve conflicts without resorting to violent methods and to having basic abilities in both Catalan and Spanish.

The background to all this is three-fold: the death of a club goer in Madrid at the hands of bouncers; the legal vacuum surrounding the club security business; the bad image that bouncers have. The colloquial term for a bouncer is "gorila"; the nicer one is "portero", the same word for goalkeeper.

Bouncers have tried to improve their image. In the UK they have been re-invented as "door hosts" or "door supervisors", but the image endures, one of intimidating muscle-bound gym monkeys - gorillas. The law in the Balearics will not be too dissimilar to requirements in the UK for obtaining a "door supervisor licence", which demands 30 hours of training; in fact, it seems to be more stringent.

At the same time as the Balearics are going down the same sort of track as the UK, there are concerns that the UK is about to take a backwards step. The Security Industry Authority, which licenses bouncers, is also a Quango and may well be disbanded. The fear is that this will mean a return to the bad old days and the re-emergence of organised crime running the club security business.

A question arises as to why there hasn't been effective control of bouncers. A central law transferred responsibility for its being enacted in the Balearics several years ago. But it was never acted upon. A conference on civil responsibility, held in Ibiza in June this year, looked specifically at the failure to introduce regulation and recorded various reports of attacks by bouncers, including one that was racially aggravated (the Balearics law includes specific mention of racism).

One aspect of the new law, and which may explain why it has not been introduced before, is that it is likely to end up costing not only individual bouncers but also club owners. Licence charges aren't that high in the UK, but this doesn't mean that they might not be in the Balearics. But even a low charge adds some further financial burden as well as further regulation to an industry that awaits the introduction of the smoking ban with some trepidation; of all the "hostelry" sectors, clubs and night bars are expected to be the hardest hit by the ban. So we can probably expect some condemnation of the law.

What doesn't seem to be being mentioned, though, is anything about tourists. As is often the case, it can be salutary to see what is being said on internet forums. In the case of bouncers, they are "aggressive", turn people away without explanation and, in one instance, did nothing to intervene when someone was being beaten up "for 15 minutes" in a particular club. Then there is the question of age. Unless you look really young, you shouldn't have problems getting past the bouncers was one piece of advice. A further aspect of the new law will be to deal with underage drinking, something which has been poorly tackled across the board in Mallorca and Spain, and so check ID. A problem, especially for British kids, is whether they have any.

As ever though, there will be an issue as to how rigorously new regulations will be applied and who will be doing the applying, and in the case of those currently working in the "industry", they will have until 2014 to pass their tests. To which one might ask: why so long? Bouncers will be going back to school, but the lessons won't be starting for some time yet.


Any comments to andrew@thealcudiaguide.com please.