Tourism leaders in Spain are expressing worry over declining numbers in the hospitality sector, particularly in the Balearic Islands. International visitor arrivals to popular spots like Majorca, Ibiza, and Menorca fell by 8.83% in January, contributing to a decrease in restaurant foot traffic throughout 2025.
The overall restaurant footfall in the Balearic Islands dropped by 3% last year, impacting the industry due to its narrow profit margins and heavy reliance on tourism. The decline is linked to escalating prices across the islands, with data showing that areas offering more affordable dining options experienced an increase in customer numbers.
Concerns are mounting for the restaurant industry in 2026, with Juanmi Ferrer, president of the CAEB Restaurants Association, anticipating a challenging year similar to 2025. Efforts are being made to mitigate the impact of inflation by avoiding price hikes to maintain customer traffic.
One proposed solution is the introduction of a restaurant voucher program, akin to a recent initiative supporting local shops. There is a push to address overtourism issues on the islands, with plans to reduce the number of daily cruise ship berths in Palma, Majorca, from 8,500 to 7,500 between June and September, aiming to limit the influx of cruise ship passengers once implemented from 2027 to 2039.
Despite the recent decrease in visitor numbers, the Balearic Islands have seen significant tourism growth in recent years post-Covid, attracting large numbers of British and European tourists. Opposition to overtourism has led to proposals for visitor number caps, although some suggestions have been rejected.
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