Overtourism has been caused by what observers call a perfect storm of low-cost airline and short-term rental proliferation to create vast new vacation capacity, driving down prices and ushering in a new era of large-scale budget travel. Airbnb is often seen as the catalyst, but it stated publicly over the summer that it is simply taking the heat that 80% of guest nights in the EU are in hotels, not short-stay accommodation. One of the biggest issues is that the boom in budget travel means that people can travel at all times of the year, so while certain parts of the world have always been prey to overtourism at certain times of the year, it can now feel constant ironically, brought on by climate change and the need to avoid extreme heat.
This year, in a bid to tackle overtourism, Barcelona, Nice, Cannes, and Isafjordur in Iceland introduced plans to reduce the number of cruise ship passengers allowed to disembark in European ports. It appears that 2026 will be another year of reining in unbridled tourism , at a time when locals are feeling the heat and politicians are heading their complaints.
In 2024, nearly 13 million cruise passengers arrived in Spain, with almost four million of these disembarking in Barcelona. The city of Venice introduced the Venice Tourist Tax pilot project in 2024 to curb overtourism and to return a little balance to the ancient city, particularly for locals, to help the economy and environment. A number of articles are being published locally touching on the social and ecological costs of over tourism. We are reaching a consensus that the tourism industry is operating beyond its’ carrying capacity.
Have we been overtaken by the economic sweeteners that inbound tourism generates. Are we too blind to notice crowded residential streets, overstretched utilities, rising waste problems and localities losing the characteristics that supposedly attract tourists in the first place. Yet, the hotel lobby is dominant and stands to gain from keeping the status quo. Hotel owners and other operators have continued to invest heavily to build top luxury amenities enjoying sea front vistas and are not so worried that the average tourism per capita daily spend is a mere €178.
Adherents to the sector have always singled out the benefits of this milking cow. It supports jobs and drives economic activity. The fly in the ointment is that nobody likes to step down from the revolving charismatic, never ending jam jar carousel. The current model, built primarily on ever-increasing visitor numbers, is not sustainable anymore. In this volume trade, one closes both eyes to the stern fact that had it not been for thousands of imported third country nationals, there are not enough locals to row the boat. Is it sustainable? Check out how the infrastructure is coping. With sewage odours in certain coastal areas during the summer and a number of swimming bays closed is a reminder that the sewage and wastewater treatment systems are operating beyond capacity.
Traffic and air pollution worsen as more arrivals choke the airport, as Y plate cars, shuttle buses and tourist transport lord over the narrow roads. For residents, this means slower commutes, worse air quality, and increasingly inaccessible streets. Many onlookers plead with Castille to set up a new policy objective to reduce excessive peak‑day and peak‑month tourist pressure while protecting tourism revenue and supporting business transition to a flatter seasonality curve. MTA ideally implements it for next season, combined with fiscal levers, regulatory controls, operational measures and demand‑shaping interventions with clear responsibilities, pilot plans and an implementation timetable.
Why not impose a higher seasonal accommodation surcharge during peak months (June to October) with a suggested €3–€7 per room‑night (sliding scale by accommodation class: budget €3, mid €5, premium €7). This shall apply to all hotels, licensed short‑term rentals and registered holiday lets. Introduce variable airport/port passenger charges or landing/slot fees higher in peak periods; coordinate with airlines/cruise lines to smooth schedules. Obviously, there needs to be proper and extensive consultation with all affected sectors. To speed such an important roadmap, Castille shall dutifully create a (bipartisan) Peak Demand Taskforce. This involves the Ministry for Tourism as a leader, with representatives: ACE, MRHA, Local Councils, Transport Malta, Ports/Harbour Authority, Malta Tourism Authority, NSO, legal counsel.
Three years ago, Deloitte had been directly engaged by the Malta Hotels and Restaurants Association on a study that inter alia revealed how the sector to survive has to attract almost five million tourists to fill up the accommodation supply at 80 per cent capacity. Five million is a disaster pill.
This year has been a bumper year for arrivals and four million are predicted. Total inbound tourists for October 2025 were estimated at 417,103, an increase of 17.3 per cent when compared to the corresponding month in 2024. The largest share of guest nights (89.5 per cent) was spent in rented accommodation establishments. Malta is not alone to feel the pang of over tourism, as other European cities are responding to similar pressures with the noble goal to reclaim public space for people who live there.
With resolve and prudence, we shall prevail.
