Ryanair, along with other airlines such as TUI and Jet2, has warned the hospitality sector in Spain, particularly in the Canary Islands, of the negative impact of increasing hotel prices on tourism.
The airlines claim that the economic difficulties faced by the UK and Germany, the leading source markets for tourists visiting Spain, could reduce the country’s holiday demand.
According to data from the General Council of Notaries, the average price of a hotel room in the Canary Islands reached 138 euros per night in 2023, while the average price for an apartment was 86 euros.
This represents a 10% increase in prices compared to the previous year. The price hike can be attributed to global inflationary pressures and the surge in demand for travel following the pandemic.
Additionally, the Canary Islands saw an increase in visitors in 2023 and are expected to experience a 14% growth in passenger arrivals in April 2024.
However, the airlines argue that the high prices could deter potential customers who are facing lower purchasing power and uncertainty in their home countries. They urge the hoteliers and Airbnb owners to keep their prices as low as possible to maintain the competitiveness and attractiveness of the Spanish destinations.
They also warn of the possible adverse effects of mass tourism on the environment and the local communities, as some residents have protested against the overdevelopment and gentrification of the islands.
British and German tourists flock to the Canary Islands for their warm climate, beautiful beaches, and natural attractions.
The islands in Spain are an important market for airlines like Ryanair, TUI, and Jet2. They offer frequent flights and holiday packages to the region, and they rely on the hospitality sector to work with them to ensure the sustainability and profitability of the tourism industry in Spain.
