Business group ACIF attacks Madeira's higher trail fees and Funchal tourist tax plan

The Funchal business association ACIF-CCIM said on Tuesday that the new prices for Madeira's classified walking trails are excessive, in a statement expressing its deep displeasure at the succession of charges on tourism.

From 1 April 2027, the general trail fee for non-resident visitors is due to rise from 4.50 to 7.50 euros, an increase of 66.7%. On Pico Ruivo, Ponta de São Lourenço, Caldeirão Verde and Balcões the fee becomes 15 euros, up 233.3%. The full Areeiro trail rises 71.4%, to 18 euros.

The three most-used trails could bring in around 14 million euros. ACIF-CCIM says neither the assumptions behind that estimate nor the planned use of the money have been published.

The association also criticises a proposal, now in public consultation, to double Funchal's municipal tourist tax from 2 to 4 euros per night. The proposal estimates annual revenue rising from 14.33 million euros in 2025 to about 28.66 million. ACIF-CCIM says it does not show why the increase is necessary or how current revenue is spent.

It calls it unacceptable that changes of this size are announced without notice that fits the sector's contracting deadlines, leaving many businesses unable to pass the costs on in prices already agreed.

The association points to the latest figures. In the second quarter of 2026, overnight stays in Funchal grew 0.2%, while stays by visitors resident abroad fell 1.4%. The room occupancy rate in the region fell from 83.1% to 78.9%.

According to Funchal Notícias and JM Madeira, ACIF-CCIM cites an estimate of about 90 million euros in taxes and other tourism charges that may no longer circulate in the local economy. It asks the Regional Government and the municipalities for a consolidated account of each charge, broken down by tax, collecting body, period and use of the revenue.

This site reported earlier that Funchal council approves plan to double tourist tax to €4.

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