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PANIC IN PALMA

Thousands of Brits could be left homeless in Mallorca after threat to ban holiday apartments this summer

The Mayor of Palma wants to outlaw the holiday properties because locals can’t afford a place to live

The Mayor of Palma wants to outlaw tourist rental apartments in the city from June onwards, leaving holidaymakers panicked

BRITISH holidaymakers with holidays booked in Mallorca this summer have been left panicked by shock plans to ban tourist rental apartments from June onwards.

The Mayor of Palma wants to outlaw holiday homes in the city, because the high numbers of tourists visiting mean locals can’t find a place to live as a result of property prices surging.

The Mayor of Palma wants to outlaw tourist rental apartments in the city from June onwards, leaving holidaymakers panicked
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The Mayor of Palma wants to outlaw tourist rental apartments in the city from June onwards, leaving holidaymakers panickedCredit: Getty Images

According to reports, the cost of renting a property has rocketed by 40 percent in the last four years.

Last year, locals painted graffiti onto the walls of Palma’s Old Quarter that read: “Tourists go home, refugees welcome.”

Property owners who flaunt the ban and honour the bookings they have taken from visitors to the island this summer risk being slapped with a £34,215 fine (€40,000).

Until now, there has been very little regulation on holiday rental properties in Spain but recently, new rules were introduced by the local Balearic government – which also covers Mallorca – which require rental villas to carry a licence in order to operate.

Holiday apartments were not included in the new law, so are still technically unregulated and therefore illegal.

Concerned holidaymakers who had booked a city break in the Spanish city have been bombarding rental websites with concerns that they could find themselves homeless on arrival.

However, rental companies are convinced that there is very little chance of the ban coming into effect this summer.

According to insiders, the Mayor of Palma is very new to the job and many feel that he is simply trying to make a statement.

Locally there is a big problem of spiralling long term rental prices and availability affecting local residents, who then have to move further out of the city, which is blamed on the number of holiday apartments.

Concerned holidaymakers who had booked a Palma city break have been bombarding rental websites with worries that they could find themselves homeless on arrival
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Concerned holidaymakers who had booked a Palma city break have been bombarding rental websites with worries that they could find themselves homeless on arrivalCredit: Getty Images

But industry sources say that such a law isn't even legally binding, as it would have to be approved by the regional government of the Balearics (the Govern Balear), which covers Mallorca, Menorca, Ibiza and Formentera.

The Tourism Department of the “Govern Balear” is currently in the process of drafting new regulations to tackle the holiday rental industry but these are not due to come into effect before the beginning of 2018, at the earliest.

The Town Hall of Palma has reiterated that it has every intention to carry out the ban on all short-stay apartment rentals in the city this summer, even if the regional law is not passed in time.

But rental companies like Spain-Holiday.com, who provide Palma holiday apartments to thousands of British holidaymakers, are convinced that there will be no problem for holidaymakers who have booked trips to the city this year.

But industry sources say that such a law isn't even legally binding, as it would have to be approved by the regional government of the Balearics
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But industry sources say that such a law isn't even legally binding, as it would have to be approved by the regional government of the BalearicsCredit: Getty Images

Nicola Erlich from Spain-Holiday.com told Sun Online: “We can’t say whether they will allow licences for the apartment lettings when the Balearics government make their ruling next year, but as far as any binding law happening this summer- we are telling customers not to worry.

“We are keeping an eye on the situation though.

“It is a real shame though, as Palma has worked hard to become known as a tourist destination.

“It used to be seen as just the place to fly into on the way to a resort, but in the last few years it has really got a name for itself and now this happens.”

Palma has worked hard to become known as a tourist destination over the last few years
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Palma has worked hard to become known as a tourist destination over the last few yearsCredit: Getty Images

Palma isn’t the first place to crack down on tourist rentals in Spain – in Barcelona, the government requires all rentals to carry a licence and imposes heavy fines on those who operate without one.

Nicola is currently unsure whether the Balearic government will take stricter measures with regards to holiday rentals, but she predicts the authorities may also impose either a limit on the number of rental apartments allowed, or restrict them to a certain area of the city.

A spokesperson for AirBnB, which also operates numerous numerous holiday apartments in the city told Sun Online: ""We are disappointed by this decision and want to work with City Hall on a solution.

"Home sharing helps regular families boost their income and studies around the world show it has no significant impact on housing availability."

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