A further example of a change in attitude lies with the purposes of the tax – what the money gets spent on. Under the last government, some of the tax revenue was allocated to social housing. There was a good deal of criticism of this; the government should have been budgeting for this anyway. The PP were among the critics and they in fact changed the law to prevent the tax being used for this purpose.
It would now appear that they will have to change the law back again. During a Tuesday parliamentary motion on housing that was raised by the PSOE opposition, the PP presented an amendment which stated: “The parliament of the Balearic Islands urges the government of the Balearic Islands to once again allocate part of the sustainable tourism tax to the construction of protected public housing.”
The 2025 budget bill doesn’t yet itemise specific projects to be financed with the tourist tax, although it is known that six million euros have been reserved for the ministry of housing and mobility. In light of the PP’s amendment on Tuesday, it looks very likely that this will go on the building of protected public housing (VPO).