Crisis economica en Puerto de la Cruz

wine and liquor store

wine and liquor store

bookstore

bookstore

Puerto de la Cruz is in economic meltdown. Walk down any street, bares, tiendas, restaurantes, hoteles, cerado permamente. In some streets virtually every business is closed. Many have been around for years.

The causes are various.

Like Ireland, the property bubble has burst, and like Greece and Ireland, Spain is expected to go cap in hand for a bail out.

In England, the ConDem government is using the budget deficit as an excuse for slash and burn of public services, unemployment is growing.

There are few tourists on the streets of Puerto de la Cruz, and those who are on the streets either have no money or are not spending it.

The dire state of the local economy is being made far worse by hotels going all inclusive, todo incluido. Money is not flowing into the local economy. Most goes to the foreign tour companies, some to the hotel and of that, the wages is all that flows into the local economy.

Some countries make all inclusive illegal. This is something Tenerife or the Canary Islands must to do as a matter of urgency. If not, next year Puerto de la Cruz will be a ghost town.

A head tax on the hotels offering all inclusive which would make it no longer a viable proposition and would compensate for the money no longer flowing into the local economy.

Bailgate Pound

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One Response to “Crisis economica en Puerto de la Cruz”

  1. keithpp Says:

    One year on, and the crisis has worsened.

    https://keithpp.wordpress.com/2012/06/10/crisis-economica-en-puerto-de-la-cruz-2/

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