Steve Heapy, CEO of Jet2 and its affiliated tour operator Jet2holidays, has issued a stark warning about the impact of rising costs and anti-tourism sentiment in the Canary Islands. As the largest UK tour operator to the region, responsible for bringing 2.4 million British visitors in 2024, Jet2 plays a pivotal role in the archipelago's tourism success.
However, Heapy cautions against policies and rhetoric that may alienate tourists, describing these as “a dangerous game.”
Despite record-breaking tourist numbers in 2024, Jet2 forecasts a slower growth trajectory for 2025, citing rising prices, competition from other destinations like Turkey, Morocco, and Greece, and the negative impact of anti-tourism protests and governmental statements.
Jet2 plans to increase capacity to the Canaries by 8% this summer, offering over 1.6 million seats and adding new routes to Bournemouth and London-Luton.
However, Heapy notes that while demand remains strong, sales are lagging compared to competitors. He attributes this to higher costs and a sense among tourists that they are unwelcome, pointing to protests in Tenerife and Gran Canaria and statements from local leaders suggesting a preference for "wealthier" tourists.
"Tourists Feel Mistreated"
"Anti-tourism protests and derogatory comments from local administrations make tourists feel unwelcome," said Heapy. "People don't come to the Canaries to be mistreated or to witness protests. Such incidents tarnish the region's image, pushing tourists toward destinations like Turkey and Morocco, where they feel valued."
He also criticised the focus on luxury tourism, warning it could alienate average travellers. “Not everyone is rich, and many tourists simply want an affordable and relaxing holiday. If they feel unwanted, they’ll look elsewhere,” he said.
The Mogán Tax: A Dangerous Precedent
Heapy expressed particular concern over Mogán's proposed €1.50 tourist tax, which he called "madness." While acknowledging the tax's modest amount, he argued that any increase in costs adds up and risks making the Canary Islands less competitive.
"Rising taxes drive up the overall cost of holidays, reducing demand. While Mogán’s tax is small, it sets a dangerous precedent," he said. He also criticised the uneven application of regulations, pointing out that legal operators bear the burden of these taxes while unlicensed short-term rental properties often evade them.
Competition from Morocco and Other Destinations
Heapy highlighted the growing threat from Morocco, which is undergoing a tourism boom with nearly 400 new hotels planned in the next few years. Morocco, like Turkey, also benefits from being exempt from the EU's Emissions Trading System (ETS), which has increased airfares to the Canary Islands by an average of €10-€12 since January.
"Morocco is offering high-quality accommodation at lower prices and welcomes all types of tourists, not just the wealthy," said Heapy. "The Canary Islands should take note of Morocco's coordination between government, airports, and tourism boards, which ensures effective promotion and investment."
Heapy emphasised the need for coordinated action from Canarian authorities, including stricter regulation of illegal short-term rentals, greater support for licensed operators, and improved destination marketing.
"Governments need to enforce existing regulations and focus on controlling illegal rentals rather than penalising compliant operators," he said. "They should also work with airlines and tour operators to promote the Canary Islands in key markets like the UK."
Looking Ahead
Despite challenges, Heapy remains optimistic about the future of Canarian tourism, predicting continued strong performance in 2025 before a potential slowdown from 2026 onward. However, he warns that unchecked cost increases and unwelcoming rhetoric could threaten the region's long-term appeal.
"Tourism is essential for the Canary Islands' prosperity. Policymakers must act decisively to protect and grow this vital industry, ensuring it remains competitive in an increasingly crowded global market," he concluded.
