The Spanish government recently announced plans to cut sales tax on new homes from 8 to 4% in order to help reduce an estimated backlog of one million unsold residential properties.  This excess stock has been created by a number of factors, including over development and a fall in demand since the onset of the economic crisis.  Home sales in Spain dropped by 26% in June versus the same month last year, prompting the government to take action.

Arrivals from Lanzarote´s other key markets also showed positive growth, with passenger numbers from Germany rising by 19.4% and from Ireland by 6.5%.  Whilst the islands fourth largest market, Holland, enjoyed 12.8% rise with a total of 4328 tourist arrivals.

Overall a total of 119,020 foreign tourists visited Lanzarote last month – a 14% increase versus May 2011 figures.  As the island´s tourist sector continued to enjoy a positive start to the year.  The only dark cloud in this otherwise sunny picture comes from the Spanish market – where arrivals fell by 16.9% to 21,690 passengers.

Overall, annual Irish tourist numbers have now declined by 12% versus 2009 and by over 25% versus 2008 figures.  Suggesting that Lanarote’s third largest market is now in long term decline, a trend exacerbated by the onset of the debt crisis there, which is set to further squeeze consumer spending.

On the upside other key markets such as the UK and Germany both recorded positive growth for the year and overall foreign tourism on Lanzarote rose by nearly 7% during the course of 2010.  As the island welcomed a total of 1.461.568 non Spanish nationals.

A total of 8.590.081 foreign tourists visited the Canary Islands during the course of 2010, with Tenerife remaining the most popular destination with 3,118,852 arrivals, followed by Gran Canarias with 2,481,672 foreign visitors.  Fulled by a 12% plus growth in British visitor numbers.

Lanzarote remains the third most popular of the islands and last year foreign tourism grew by 6.88% as 1,424,482 non Spanish tourists arrived at Arrecife airport.  However of all of the islands Fuerteventura enjoyed the greatest growth last year as visitor numbers soared by over 19% to 1,424,482 arrivals.

AEMET  has just confirmed that the final month of 2010 was one of the fifth warmest Decembers on record with average daily temperatures hitting  20.7º C on the coast and of 15.3ºC in central areas. And only December 2009 has exceeded these temperatures in the last decade.

In addition, with only an average of 41mm of rainfall, it was also the third driest month of the decade, with only December 2003 and 2006 seeing lower levels of precipitation.

The lower level of yield has been attributed to  weather conditions that have significantly reduced grape growth over this cycle.  Such as  rainfall, heat waves and seasonal temperature differences.  However on the upside, the quality of the grapes harvested this year is considerably higher than those collected in 2009, which were affected by a severe heat wave.

Apart from the dominant variety of Malvasia, other types of grape recently harvested include 349,853 kilos of black, 61,181 of white muscatel, 52,242 of Diego white and 18,659 kilos of Syrah.

In total 466,760 bottles of local wine have been purchased between January and March, whereas last year the amount was only 360, 508. As a result, if sales continue at this level, the Council hopes that 2010 will see sales reaching or surpassing the level recorded in 2008, which amounted to some 1,787,101 bottles sold.

The State Meteorological Office has issued an orange alert until Tuesday afternoon, as further high winds are anticipated, gusting up to 95 kilometres an hour in the peaks of Teide National Park.   With high winds and rain also expected in the eastern Canaries and on Lanzarote through until Thursday this week.

Arrecife swings into action this weekend with the Carnaval theme dedicated to the memory of Michael Jackson. So expect an abundance of white gloves and Thriller related threads.  The main event takes place in the island capital on Monday 15th as the Carnaval Parade sways through the streets from the Cuidad Deportiva to the Cabildo building n the seafront.

The action then moves on to Puerto del Carmen from the 18th to the 21str.  With the Gran Carnaval Parade taking place on Saturday the 20th.

Yesterday eleven flights to Lanzarote from across mainland Europe had to be diverted to Fuerteventura – with pilots unable to land on the relatively short strip at Arrecife.  Whilst three inter Canary Island ferries were unable to dock at Puerto Marmoles.

The stormy weather is now expected to blow itself out over the next couple of days with the skies clearing and wind dropping by the weekend.