Majorca and Canary Islands risk flight cuts

Flights to the Balearic and Canary Islands are at risk due to unpaid government subsidies. Airlines say that this situation could lead to flight cancellations and reduced routes, which would hurt tourism in these regions. The Airlines Association (ALA) reports that the government owes airlines £680 million (€810 million) for discounts offered to island residents. This debt could rise to £1.2 billion (€1.5 billion) by the end of the year if the situation does not improve. Airlines are facing severe financial pressure and are considering cutting routes. Juan Molas, the President of the Tourism Board, warns that the government's failure to make timely payments may compromise air travel. A reduction in flights would negatively impact the tourism-dependent economies of Majorca and the Canary Islands. In 2023, tourist spending was significant, with £14.8 billion in the Balearic Islands and over £17 billion in the Canary Islands. This sector accounts for around 35% of these regions' GDP. The ALA criticizes the government for not addressing the subsidy delays, stating that the allocated budget is insufficient. Airlines are urging the government to resolve this issue quickly to avoid future disruptions to their services.