"It makes no sense to tackle Mallorca’s congestion problems by focusing on car rentals"

Hire cars are at the centre of the debate about vehicle restrictions in Mallorca. | Photo: Gemma Andreu

Andrew EdePere CerónPalma13/10/2026 07:58

The association's main objection, he says, is to the whole approach. "It makes no sense to tackle Mallorca’s congestion problems by focusing on car rentals. We have traffic jams all year round, not just in summer, so limiting hire cars won't solve the gridlock. The population has grown by around 45% over the last 25 years, yet infrastructure hasn't kept pace. We aren't advocating indiscriminate road expansion, but rather more park-and-ride facilities, better public transport, and targeted action at traffic hotspots. If certain beaches have access issues, we should manage their parking areas, perhaps even prioritising residents, but restriction for the entire island makes no sense.

"We are presented with a complex problem, and a simplistic solution won't fix it. If we limit hire cars but still have traffic jams at eight in the morning the very next day, what have we actually achieved? Many people use private vehicles because they have no alternative. We need reliable data on the causes of congestion before adopting measures that affect freedom of movement and the freedom to conduct business, measures that could also have implications under European law."

An issue, though, is obtaining the data. Herrera accepts that Baleval doesn't have that sort of information because it is sensitive data belonging to each individual company. However, companies provided figures for this summer to the Council of Mallorca, so it should have them. "We propose installing licence-plate-reading cameras and cross-referencing the data with the traffic directorate to determine exactly which vehicles are on the road. If it is proven that the car-hire sector is oversized, we will accept being placed at the centre of the debate. But right now, that complete picture doesn't exist."

As to public transport, he and his association don't believe it truly offers an alternative. "For instance, there is talk of an airport tram for 2032, yet they want to implement restrictions now. If we improve public transport and offer real alternatives, the demand for hire cars will naturally decrease. Limiting supply before those alternatives are available could leave customers without service and drive up prices for both tourists and residents. It could also affect service quality if companies are constantly operating at maximum capacity."

The legislation as it stands potentially raises questions regarding free competition. Baleval has called on parliament to consult the National Commission for Markets and Competition, which has challenged restrictions in Formentera and Ibiza. "We believe it would be reasonable to know its position before proceeding. Furthermore, we propose making it mandatory to seek its opinion when the Council establishes the specific quota and the allocation system among companies. The aim is to ensure that the restrictions comply with competition rules and offer sufficient legal certainty."

Herrera says it is not yet possible to calculate how many vehicles would be restricted under regulations for the whole of the Balearics, but he points to a capacity study suggesting a reduction of around 120,000 vehicles, covering both private cars and rental fleets. "In Ibiza, we estimate that between 15% and 20% of jobs have been lost. Some companies that previously held fleets of 900 or 1,000 vehicles have found themselves with a maximum of around 500. This has obvious consequences for employment. We are calling for quotas to be allocated before December 31, as companies plan their vehicle purchases during the preceding year. In Ibiza, the quota was announced provisionally on May 15, creating enormous uncertainty, including for seasonal workers with fijo discontinuo contracts.

"If rigorous studies demonstrate a serious impact from hire cars, we would understand the adoption of proportionate measures, but we believe that, at present, this has not been proven. The priority must be to improve mobility for residents so that they can leave their cars at home or even forgo buying one altogether. Efficient public transport could also benefit the sector. In other Spanish cities, many residents do not own a vehicle, opting instead to rent one when needed. In Mallorca, we could reduce rental demand during the summer while increasing it throughout the rest of the year. It would be a far more sensible approach to achieving sustainable mobility."