More than 90% of hotels in Cyprus operate without licenses.
This was announced by the Ministry of Tourism on Friday, January 19.
This is even though the Cypriot authorities went to meet the tourist business and provided a grace period of five years to obtain the necessary permits. For example, for construction. Specifically, as of the end of 2023, only 60 out of 816 hotels, or 7.35% have renewed their operating licenses. This means that the vast majority did not. The reason was that they did not meet the legal requirements. As for recreational facilities, out of the 3.6 thousand registered only 2.23 thousand, or 64% renewed their operating licenses, while 38%, or 1.37 thousand did not do so.
The agency warned that this situation poses a threat to the health and safety of people. And also said that the main reasons for refusing to renew the license were arbitrary renewals and modifications made without obtaining the appropriate approvals, such as planning permission and building permits.
Of the 35 five-star hotels operating on the island at the end of last year, only four had valid licenses. The same was true for only nine of the 58 four-star hotels. In addition, since 2009, 19 five-star hotels and 43 four-star hotels have been operating without a license.
This situation creates risks for the safety and health of both clients and employees of these enterprises," the Ministry of Tourism emphasized.
The ministry also noted that shortly the legislation will be amended, which will help to stop violations. Meanwhile, Cyprus intends to extend the period for the legalization of hotel facilities until the end of 2027. In particular, it was deemed necessary to extend the transition period until December 31, 2025, for all natural or legal persons managing hotels or tourist accommodation facilities, and until December 31, 2027, for all natural or legal persons managing hotels or tourist accommodation facilities, provided that until December 31, 2025, they provide the Deputy Ministry of Tourism with the necessary certificates and documents confirming that they have taken the necessary actions to eliminate all their construction defects and violations. After that, criminal prosecutions will be initiated against the owners of such establishments, during which they intend to issue orders to suspend the hotel companies.
As a reminder, for hotels to be granted a license to operate, they must present several certificates that their establishments meet health and safety standards, including food handling, the suitability of any swimming pools they may have, and elevators. They must also have building permits. That said, hotels and other tourist facilities are now given a five-year grace period to obtain licenses for their operations. There has also been a simplification of procedures compared to what the CTO used to require.