Spain aims for year-round tourist industry

Owners of investment property in Spain could soon find they have a healthier rental income in the winter months, if plans announced by industry minister Miguel Sebastian work.

In a speech delivered on Thursday, Mr Sebastian outlined measures to combat the impact of the credit crunch and economic slowdown on Spain, reports Thomson Financial.

The two key strategies he detailed were moves to encourage more people to buy new cars and efforts to increase tourist numbers.

Tourism is already a vital sector of the Spanish economy, with thousands of visitors from across Europe heading to its beach resorts and the cultural centres of Madrid and Barcelona every year.

However, Mr Sebastian insisted there is room for improvement, adding: "We need to make tourism less seasonal."

His masterplan to do this involves running campaigns to persuade more retired people to holiday there in the winter - a move which could mean people with investment property in tourist resorts are able to claim rent during usually quiet periods.

Beatriz Corredor, the country's minister for housing, recently said now is the "right moment" to buy property in Spain because the current lack of demand from house purchasers means prices are low.