The Secretary of State for Tourism gave a keynote speech in Faro yesterday at the 'Local Lodgings as an Asset to the Algarve Tourism Industry' seminar.
Adolfo Mesquita Nunes said that there are 140,000 private properties in the tourism rental market in Portugal and, far from discouraging them, he accepts that they are what tourists want and should be encouraged – and regulated.
There are 6,412 rental properties now registered at Finanças for the Algarve but there is no official data on the number of illegal rental properties which can expect increasing attention as nationally only 9% have bothered to register.
Nunes said the new legislation, which he drafted and saw through parliament, has done away with much of the old red tape and has left an easy to use system for registering guest accommodation in two main categories, hostels and private villas/apartments.
The Secretary of State said that this type of accommodation is what people want and it helps to boost off season tourism. The new laws have started to have the required affect with more registrations in the past three months than in the past six years of the old legislation.
Nunes added that he did not see private lettings as unfair competition for the traditional hotel market, “The competition from registered apartments and villas is not unfair, is competition for the market and it is the tourists who decide where they want to stay, the state must not tell them where they should be," he argued, stressing that illegal rentals are unfair competition and will be eradicated over time as the new registration process gains momentum.
The well-attended seminar was held at the School of Hospitality and Tourism of the Algarve and was organised by the crime prevention organisation Safe Communities Algarve and the Algarve Tourism Board.
There were presentations from Tourism of Portugal, the Authority for Food and Economic Security (ASAE), the Foreigners and Borders Service (SEF), the Judicial Police (PJ) and the GNR.
The highly topical seminar was attended by around 300 delegates who heard also from Eurofinesco's tax expert Dennis Swing Greene about the launch of NALLE, a new association dedicated to helping those who let their properties and wish to be legal.
The Secretary of State said that the compliance system was simpler despite involving, as still it does, the local council, the national tourist board, Finanças, ASAE and the SEF.
NALLE provided a 72 page booklet covering key aspects of the legislation and taxation requirements for local lettings to help avoid fines of between €2,500 to €3,740 for individuals and €25,000 and €35,000 for companies.
The presentation papers are available on Safe Communities Algarve's website:
http://www.safecommunitiesalgarve.com/crime-prevention-advice/property/