Madeira's main business association has denounced a pile-up of new charges on the island's tourism industry. The Associação Comercial e Industrial do Funchal (ACIF-CCIM) issued two statements on 10 November. Tourism, it said, "cannot be treated as a sector to be plundered."
Two separate fee increases are moving through the system at once. One raises prices on classified hiking trails; the other would double Funchal's municipal tourist tax.
Combined with rising air fares, ACIF-CCIM estimates the pile-up could pull as much as 90 million euros out of the local economy.
Hiking Trail Fees Set to Rise as Much as 233 Percent
From 1 April 2027, the general entry fee for non-resident visitors on classified trails rises 66.7%, from 4.50 to 7.50 euros. Four of the island's busiest routes - Pico Ruivo, Ponta de São Lourenço, Caldeirão Verde and Balcões - jump to 15 euros, a 233.3% increase.
The full Areeiro route rises 71.4%, to 18 euros. ACIF-CCIM says potential revenue from the three most popular trails could reach about 14 million euros a year. But the assumptions behind that estimate have not been published, nor has how the money would be spent.
| Trail | Current fee | New fee |
|---|---|---|
| General fee (non-resident visitors) | €4.50 | €7.50 ▲ +66.7% |
| Pico Ruivo, Ponta de São Lourenço, Caldeirão Verde, Balcões | €4.50 | €15.00 ▲ +233.3% |
| Full Areeiro route | ~€10.50* | €18.00 ▲ +71.4% |
*Derived from the percentage increase given by ACIF-CCIM; not published directly.
ACIF-CCIM says it accepts the need to protect the island's natural heritage and keep hikers safe. But it is demanding that any increase be backed by data, improvement targets and public accounting, not announced without notice.
Funchal Weighs Doubling Tourist Tax to Four Euros a Night
Separately, Funchal City Council has opened a public consultation on a new tourist tax. The proposal would double the nightly fee, from 2 to 4 euros per overnight stay. Based on 2025 volumes, annual revenue would rise from 14.33 million euros to roughly 28.66 million.
ACIF-CCIM argues the council has not shown why the increase is needed, nor explained clearly how the money already being collected is used.
| 2025 | Proposed | |
|---|---|---|
| Fee per overnight stay | €2.00 | €4.00 ▲ +100% |
| Annual revenue | €14.33 million | ~€28.66 million ▲ +100% |
ACIF-CCIM has formally asked the council to withdraw the proposal. It also wants any part of the new charge meant to discourage visitors removed entirely.
Of That Increase, €2.48 Is Meant to Discourage Visitors
ACIF-CCIM says the council's own calculations undermine the case for doubling the tax. Of the proposed 4 euros, 2.48 euros is explicitly earmarked to deter tourist demand rather than to fund any service or project.
For visitors arriving by sea, that deterrent portion is even larger: 3.51 euros out of every passenger fee. In both cases, ACIF-CCIM says, the discouragement component makes up the bulk of what the council wants to charge.
Occupancy Rate Fell 4.2 Points as Demand Already Slows
ACIF-CCIM argues this is the wrong moment to raise costs on visitors. Data from the Direção Regional de EstatĂstica da Madeira back that up.
In the second quarter of 2026, overnight stays in Funchal grew just 0.2% year-on-year. Stays by foreign-resident visitors fell 1.4%.
Across the region, the hotel occupancy rate dropped from 83.1% to 78.9%, a fall of 4.2 percentage points. ACIF-CCIM warns that if oil and jet-fuel prices stay high, pricier flights could make the slowdown worse on an island this dependent on air travel.
Business Group Wants Accounting for €90 Million in Fees
Taken together, ACIF-CCIM estimates that about 90 million euros in tourism-related fees and charges risk being taken out of circulation in the local economy. It is calling on the Regional Government and municipalities to publish a consolidated accounting. That report should break the totals down by fee, collecting body, period and how the revenue is used.
The association is also repeating a long-standing demand. Funchal's tourist tax regulation should create an Advisory Monitoring Committee, with public and private representatives.
The committee would propose spending priorities. It would also give a prior opinion on the city's annual spending plan and track how the money is invested. ACIF-CCIM wants that plan, the committee's opinions and a public report on revenue and results all published.
On the sea-arrival fee, ACIF-CCIM proposes a change. Shipping agents would bill cruise operators directly and pass the amounts collected straight to the council.
That would cut out the port authority APRAM as an intermediary. The association says agents currently risk advancing their own capital. They can also bear interest costs when payments are delayed through no fault of their own.
Source: acif-ccim.pt
Source: acif-ccim.pt
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