- Hoteliers are concerned about the new taxes.
- Sustainable tourism requires urgent urban planning.
- Fair treatment in hospitality is essential.
- Skilled labour shortages need addressing.
- Infrastructure development is critical.
- Transparent use of tax revenues is vital.
During a recent meeting with regional officials and MPs Lefteris Avgenakis and Giannis Kefalogiannis, members of the Heraklion Hoteliers Association highlighted several challenges. They focused on increases in the climate resilience tax and the municipal levy, locally known as “τέλος διαμονής παρεπιδημούντων”. These fees, paid by hotels to local municipalities, are viewed as unwarranted and impose a heavy strain on the hospitality industry. Hoteliers are frustrated by the lack of transparency regarding the allocation of these tax revenues, claiming the measures seem designed to boost state funds rather than support tourism.
The hoteliers urged MPs to relay these vital issues to the government and support solutions that address the current challenges facing Crete’s tourism industry.
Additional Challenges Discussed
- Urban Planning for Tourism: The association called for comprehensive urban planning to support sustainable tourism growth ahead of the new Kasteli airport opening in 2027. They urge the municipalities of Hersonissos, Malia, and Kydonia to be exempt from the “Controlled Tourist Development Areas” label.
- Equal Treatment in Hospitality: Hoteliers stressed the need for equal treatment to prevent unfair competition within the hospitality sector.
- Beach Usage Laws: There is discontent over hefty fines imposed by Law N5092/24 regarding beach regulations.
- Shortage of Skilled Labor: To combat a lack of well-trained staff, hoteliers propose improved training programs and initiatives to attract new workers.
- Infrastructure Development: The “Northern Crete Axis Road” and essential road infrastructure must be completed urgently to boost the island’s economy and ensure road safety.
- Heraklion Airport Facilities: Concerns were raised about inadequate infrastructure at Heraklion Airport, calling for immediate improvements to enhance the destination’s image.
- Water Scarcity and Costs: Limited water resources and potential price hikes are pressing concerns.
- Foreign Worker Documentation Delays: Delays in processing documentation for non-EU workers are causing recruitment issues.
- Digital Work Card System: While beneficial, the new digital work card system fails to consider the unique challenges of the tourism sector.
