Hotel occupancy disproportionate to 2023 increase in air arrivals

Prime Minister Kyriakos Mitsotakis' announcement last Saturday of an increase in the daily accommodation fee paid by hotel guests, with the aim of financing the natural disasters reserve, drew reactions from a number of hoteliers. They consider that on the one hand it erodes the competitiveness of tourism, despite the impression to the contrary, and on the other it sends a negative message to the international tourism markets. The tax on daily accommodation in hotels, which is paid in addition to all other charges and attributed to the public funds, is about to increase by 1 to 6 euros to €1.5-10 as of 2024.

Despite the large increase in air arrivals recorded in 2023, Greek hotels registered approximately the same occupancy rates as in 2022, while their prices increased, reported the President of the Institute of Tourism Research and Forecasts (ITEP), Konstantina Svinou, based on a recent survey concerning the May-October touristic period. 

Svinou, in her interview with the state-run Athens-Macedonian News Agency (AMNA), referred to a forthcoming detailed study expected by the Hellenic Chambers of Hotels, explaining that hotels in continuous operation are the ones most affected by the unrestrained proliferation of short-term leasing. She stressed that hotels in continuous operation suffer most from the increase in the accommodation tax, while they lack substantial state support. 

Approximately 38% of Greek hotels operate all year round, with their average occupancy not...

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