Insolvencies in the tourism sector in Spain could increase 67% this year

The number of insolvencies in the sector could increase by 67% in 2021, to 165 insolvencies, compared with a forecast 30% increase in the total figure for Spain, according to the analysis prepared by Solunion, the credit insurance company. Seventy percent of the companies in the sector confirm that they have availed themselves of measures such as the ICOs and 100% of them presented ERTE among their staff.

The number of insolvencies declared in the sector in 2020 increased by 43% compared to the previous year, mainly in SMEs.

A figure that contrasts with the number of global business insolvencies in our economy, which decreased by 5%, thanks to the support policies and administrative measures implemented.

It is expected thatCataluña, with an increase of 161%, the Comunidad de Madrid (100%) and the Comunidad Valenciana (100%); will be the regions that declare the most insolvencies, in number, in the year of this 2021.

País Vasco is the one that reflects the highest increase in percentage, but only recorded one insolvency declared in 2020.

With respect to the activity of 2021, according to the analysis prepared by Solunion with a sample of 20 groups, including the main ones in the sector, it can be seen that the levels have continued to be very low in the first four months of the year, far from the én precovid.

However, with the start of the summer season, the outlook is more optimistic and turnover is expected to be only 26% lower than that achieved in 2019 and 273% higher than in 2020.

Also, a massive use of government support measures is appreciated. Specifically, 70% of the companies consulted confirmed having availed themselves of contingency measures such as ICO; and 100% presented ERTE among their staff, which would have affected an average of 85% of them.

They expect that 81% of the staff currently on ERTE will be out of this situation by the summer campaign.

According to Solunion data, the sector shows a moderate optimism regarding the recovery of the activity: while 60% of the companies expect to return to pre-crisis levels in 2022, 20% do not see it possible until 2023 and another 20% are still much more pessimistic and prefer not to anticipate a recovery before 2024.