Balearic Tourist Tax
Tourists in the Balearic Islands will have to pay a new tax next year. Mallorca, Ibiza, Menorca and Formentera will charge visitors who hire a car up to €5 a day in an attempt to raise an extra €12m in local taxes. The tax will particularly hit many of the 4 million British people who visit every year and could add up up to€80 to the cost of a two-week holiday. Travel agents say that the tax will further harm the indusry on the islands which has already suffered a 16% drop in British holidaymakers who are choosing cheaper destinations such as Turkey and Croatia.