The Algarve golf scene has burst back into life after years of dogged promotion and objections to the austerity levy of a 23% VAT rate on rounds played.
Last year’s figures are just out and show the best performance since 2007 with 1.2 million rounds played, some 81,500 more than last year with October the best month.
The reason for this growth is simple, foreigners are back in the Algarve in their droves and the off season period for sun and sand holidays is the ideal time for golfers to enjoy the Algarve’s 40+ courses.
Last year, well-off customers arrived in increasing numbers, notably from the United Kingdom, Ireland, Germany, the Netherlands and Sweden.
Dora Coelho from the Algarve Tourism Association said that golf is a priority,
"Golf is a major pillar of our promotion strategy, and our success is due mainly to this industry," said Coelho.
"Thanks to the golf industry, we have a large advantage over markets such as Spain. The diversity of supply and the quality of golf in the Algarve are second to none and creates loyalty in the tourists who visit us.
"This is only possible with the commitment of our partners and the constant investment they make in the promotion, environmental protection and the training of professionals and services," she concluded.
Despite an analysis commissioned by golg operators, which concluded that a reduction in the VAT element of a green fee to 12% would increase the overall tax take, the last government and the current one have stuck to the higher VAT rate of 23% making golf unnecessarily expensive.
Many golf course operators swallowed the VAT increase imposed by the former government and kept green fees steady through the austerity years.
Golf in Portugal and especially in the Algarve is too pricey for many locals, both Portuguese and foreign, so relies on tourist income to keep golf courses open and operators less reliant on adjacent property sales to subsidise operating costs.
