A knock to tourism in Portugal?

Published on 31st July, 2012

Portugal relies heavily on tourism, and considers this asset to be one of the strongest throughout the whole country. However, the Portuguese government are destroying this through the proposed cultural tax, which will affect all hotel guests. The tourism industry considers the tax to be pointless and is incredibly concerned regarding the effect it will have on the numbers of visitors every year.

The cultural tax, which is to be introduced for tourists, is to help the conservation of the national heritage throughout the country. However, hoteliers have condemned the tax indicating that tourists will not appreciate the tax being added to the cost of their holiday. This will deter people from booking their holiday to Portugal, and encourage them to go elsewhere.

The Secretary of State for Culture has put the proposal forward that all hotel guests will need to pay a supplement, per night to help maintain and enhance the historical and architectural heritage. There are several areas of the country where funding is restricted, therefore, this added tax will benefit these areas. By adding a small amount such as 5 cents per night the overall amount will be increased, providing a better fund.

The need to preserve the heritage throughout Portugal is essential; however, tourism officials feel that this is not the correct way to go about the task. There, are concerns that less people will visit Portugal, causing a decline in money being brought to the area. The hotels will be liable for the tax, therefore, choosing whether to pass the increase onto the guests.

Many people visit Portugal due to the fantastic heritage; therefore, it is considered that many people will not mind paying extra to preserve this factor. The revenue, which is generated by the visitors to the area will ensure that the historical landmarks and buildings can be preserved. The risk of degradation can be stopped before if costs millions to restore the buildings.

The Portuguese Tourism Confederation appreciates that the money has to be found to help with the heritage of the country. However, they refuse to believe that tourism is the only avenue they have to fund the work. If tourism is risked in such a way, Portugal could end up losing the main source of income to help get out of the recession.

Risking driving tourists away from the country is a dangerous plan, and many cannot understand why the politicians would propose such dangerous measures. Tourism leaders are concerned that this measure would deal an unnecessary blow to the already fragile industry. The recent hikes in golf and restaurant VAT have already put pressure on the tourist industry.

The president of the Association of Algarve Hotels and Tourist Resorts made a statement that indicated that tourism should not be used as the solution for all the evils of Portuguese economy. Using this beneficial income to support the debt, which the Portuguese government have created, is incredibly wrong.

Many people consider this move to be just another example of the lack of understanding for how big the tourism industry is for Portugal. The government are leading the people into a far deeper recession, which will take many years to recover. Making things more expensive for the tourists will never be the ideal solution.

There are taxes and tolls, for everything and the tourists are currently helping to fund several existing projects. The Algarve Tourist Board feel that they have strongly opposed such a measure and that other ways are found to help raise money. People who choose to visit Portugal will feel as if they are being taxed for this decision. Therefore, other solutions need to be found, to ensure that the outcome is good for everyone concerned.

Published in: News and Updates / Portuguese Life