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Economy2 min read

Spain heads for another tourism record as islands cut summer prices

Package prices for a week in Mallorca in August are down around 22%, while British bookings rise and the Middle East conflict reshapes travel.

Spain’s tourism industry is heading for another record summer. The explosive growth seen after the pandemic has slowed, but steady demand, competitive pricing in some destinations and the effects of the conflict in the Middle East are pushing numbers up again.

The figures so far

  • In the first four months of 2026, Spain received 9.1 million international visitors, 5.2% more than a year earlier.
  • Their spending rose 7.4% to €11.6 billion.
  • The online travel agency Destinia expects summer bookings to grow by around 9%, with average hotel prices up only about 1%.

Islands lower their prices

According to Destinia, the price of a week’s holiday in August has fallen in several island destinations compared with last year:

Destination Week in August 2026 Change
Mallorca €1,800 -22%
Tenerife €1,751 -20%
Gran Canaria €2,042 -11%
Mojácar €1,843 -23%

That compares with around €3,000 or more for similar trips to the Riviera Maya, Punta Cana or Antalya.

Why prices are being held

After several years of steep, inflation-driven increases, many hotels are choosing to hold prices. Industry representatives say demand in some areas, including parts of the Balearics, has reached its ceiling, so a more cautious approach makes sense.

Hotels in Mallorca have also been moving upmarket. The Mallorca hotel federation points out that four- and five-star establishments now make up the majority of the island’s hotel stock, after years of renovation.

Where visitors are coming from

  • United Kingdom: bookings up around 20%, helped by travellers avoiding destinations affected by the Middle East conflict.
  • Germany: slightly down, reflecting the weaker German economy.
  • France, Italy and Poland: growth of 11%, 11% and 18% respectively.

Spaniards travelling abroad

Spanish holidaymakers are increasingly choosing long-haul destinations with direct flights, such as Japan, to avoid routes through Gulf hubs like Doha and Dubai. Iberia has reinforced its Madrid–Tokyo service for the late summer.

The outlook

With strong demand from Britain and other European markets, the industry expects another record — although in the Balearics, where the debate over overtourism is intense, the question is increasingly not how many visitors arrive, but how they are managed.

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