Panic in Majorca as hundreds of restaurants set to close thanks to 'sandwich tourists'

A wave of panic is sweeping through Mallorca's hospitality sector as the island braces for the potential closure of hundreds of restaurants this year. The warning comes from Juanmi Ferrer, president of the CAEB Restaurants Association, who described the current summer season as "the worst since before the pandemic."

Despite busy streets and packed beaches, restaurant owners are facing a sharp drop in customers. They are blaming this due to a rise in the number of "sandwich tourists", who are budget-conscious travellers who avoid eating out in restaurants and opt for supermarket meals and packed lunches.

"The situation is very difficult," Ferrer told local media. "We are very worried about businesses' bottom lines. Many won't be able to survive."

He explained that May was unusually quiet, largely due to poor weather, and June failed to bounce back.

So far, July has not shown significant improvement, with lunch service particularly struggling across the island. Nighttime trade is better, but still "nothing like other summers," he said.

On average, the number of customers has dropped by 5-6%, but in tourist hotspots like Port Soller, Sant Elm, and Port d'Alcudia, footfall has plunged by as much as 40%, according to Ferrer.

"We've gone from being fully booked to struggling to reach 60% occupancy," he added.

In Palma's popular Paseo Marítimo, restaurant traffic is reportedly down 20% compared to last year. While the city appears full of visitors, Ferrer notes that most are not spending money on dining out.

"Tourists still come, but they're not going to restaurants, they're eating sandwiches," he said.

With flight and hotel prices rising, tourists are arriving with less disposable income, forcing cutbacks on food, drinks, and overall restaurant spending.

The average spend per table has dropped by 10-12%, Ferrer reported.

Restaurant owners, meanwhile, face higher operating costs: increased taxes, rising food prices, steeper rents, and higher staff wages following a new collective agreement. "Many businesses won't be able to make ends meet," he warned.

Last year, 370 restaurants closed across Mallorca, and Ferrer predicts that even more closures are likely in 2025. Some establishments are already taking drastic measures - including giving staff holidays during July, the peak tourist month - just to stay afloat.

As the summer season continues, many in the industry fear that without urgent change or support, Mallorca's culinary scene could face irreversible damage.