The traders of Punta Brava and Jardín deem the assistance provided by the City Council to be “inadequate” in alleviating the repercussions of the closure of the Playa Jardín complex, which has been shut for over three months due to wastewater discharge.
The financial allocation available to the City Council is €100,000, but there is potential to increase this amount if the emergency persists. Those impacted argue that the sum is “inadequate” as it must be divided among more than 50 businesses, several of which have had to downsize their workforce due to insufficient income to meet expenses. The criteria of the grant, which is currently on public exhibition, outline three amounts of €1,000, €3,000, and €10,000, based on whether businesses are self-employed individuals without employees, micro-SMEs, or self-employed individuals with up to ten workers and small enterprises.
One of the most significantly affected establishments is Casa Julián, a restaurant situated on the beachfront, which has experienced losses of up to 70% in July and August, a substantial figure “with several zeros,” according to its manager, Yanira Mesa.
This family-run business has been operated by her grandfather and mother for over two decades before it was handed over to her brother, who is self-employed and oversees five employees, although previously there were six, including Yanira. In her situation, being a self-employed person with five employees and fulfilling all the criteria set forth in the grant, she would qualify for €3,000, “which will scarcely provide relief, just a week’s worth of headaches, but not for the past three months,” she explains.
One of the prerequisites for obtaining the subsidy is to demonstrate a decrease in turnover of at least 20% compared to previous years. However, a concern raised, like many others affected, is “what percentage of losses does the City Council use to determine eligibility for that subsidy?” From her perspective, “what needs to be examined is exactly this aspect, the reduction in revenue.”
She further critiques the delay in assistance, as the beach has been closed for over three months. In this regard, the Councillor for Administrative Concessions, Pedro Antonio Campos, explains that the new governing body faced several challenges. Firstly, there were no formal guidelines, “only an announcement, which, upon further investigation, was related to the modernisation of businesses.” As a result, it was necessary to draft these guidelines and amend the strategic subsidy plan, “and without relinquishing the €100,000 for modernisation, we allocated the remaining funds for that purpose,” he notes.
The remaining funds posed another challenge, considering that “the amount in the reserve was around €400,000. I would have preferred to allocate more funds, but the resources in the municipal treasury are limited. That is why we are committed to launching an additional scheme later if the situation continues, and we will do so,” the mayor assures.
