Travel industry leaders in Spain are raising concerns following a challenging start to the year. The Balearic Islands, home to popular tourist destinations like Majorca, Ibiza, and Menorca, have experienced a decline in restaurant patronage in 2025. Data from Delectatech indicates that this drop is attributed to price hikes, a trend observed consistently throughout the year. While regions such as the Basque Country and Catalonia saw marginal decreases of 1%, the Balearic Islands recorded a significant 3% decrease in customers. Despite the seemingly small figures, these declines are noteworthy given the slim profit margins in the sector.
Majorca Daily News reports that the drop in customers is linked to escalating prices on the islands. Mainland areas offering more affordable dining options, such as Castile-La Mancha and Extremadura, witnessed an uptick in customer numbers. This suggests that consumers may have reached a threshold for pricing, curbing increases in costlier regions and indicating a restraint in consumer spending even in traditionally less price-sensitive areas.
There is a prevailing sense of pessimism within the hospitality sector for the projected numbers in 2026. Juanmi Ferrer, president of the CAEB Restaurants Association representing establishments in the islands, expressed concerns about a challenging year ahead, expecting a performance on par with or slightly worse than the previous year. He emphasized the reluctance of restaurant owners to raise prices, as it usually results in reduced footfall. Efforts will be made to mitigate the impact of inflation on operations.
The decline in customers has prompted the Balearic government to consider implementing a restaurant discount program, akin to the initiative recently launched to support small local businesses. The retail scheme provides residents with vouchers to encourage local shopping.
Last summer, reports emerged of certain Majorca resorts experiencing low visitor numbers. Miguel Pérez-Marsá, head of the nightlife association, highlighted concerns that preferred tourists were seeking alternative destinations due to feeling unwelcome. This discontent was evident during over-tourism protests in various parts of Spain, including the Canary and Balearic Islands. Notably, protests in Majorca saw thousands of residents rallying against over-tourism in June 2025.
At the World Travel Market in London, Ibiza’s Minister of Tourism, Jaume Bauza, confirmed a decrease in visitor numbers, with a notable drop in British tourists visiting the island during peak season in 2025 compared to the previous year. Speculation suggests a shift in holidaymakers’ travel dates to capitalize on lower prices later in the year.
Local residents of Ibiza have criticized the surge in luxury tourism on the island, leading to increased costs and challenging living conditions for workers. The transformation of Ibiza into a luxury destination has sparked concerns about the changing essence of the island and the diminishing sense of inclusivity among different visitor groups.
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