Over 5,000 bars and restaurants could close down permanently after the summer, as a consequence of the financial crisis, warns the Unión de Profesionales y Trabajadores Autónomos (Union of Professionals and Self-Employed (UPTA)).

The warning comes as the financial crisis takes its toll on domestic demand, as well as talk of new laws focusing on smoke-free public places, and the rearrangement of beach chiringuitos take on momentum.

The UPTA is strongly criticising government initiatives which are tyring to clampdown on the hospitality industry, saying that this sector will severly be affected by new laws and measures which prohibit smoking.

The Union, warns that 5,000 bars and restaurants are on the verge of closing down permanently, which would result in a direct loss of 40,000 jobs as well as thousands more indirectly.