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What is the main source of income in Tenerife?

Tourism is the mainstay of Tenerife's economy. Thanks to the millions of visitors that come to Tenerife every year, tourism is the main cornerstone of the economy.



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Tourism has traditionally been an important source of income and a key factor in the economic growth of Tenerife, with a significant contribution to the island's GDP.

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Agreeable Weather That said, it's warm to mild all-year round, showers tend to be short-lived, and there's a far stronger likelihood of nice weather to enjoy than in many other holiday locations. There are also online resources that can give holidaymakers a clearer picture of Tenerife weather and what to prepare for.

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Nuestra Señora de África Municipal Market in Santa Cruz de Tenerife. Nuestra Señora de Africa Market is the main one in Tenerife's capital. It was founded in the 1940s, and is still a landmark in the city today.

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High international demand is having a large impact on the Tenerife property market. The majority of prospective buyers are interested in acquiring properties in the locations Costa Adeje and La Caleta. In recent years, prices here have risen by as much as 30 percent.

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Many expats live in Tenerife, including French, German, Russian, and Italians; the largest expat population is that of the British, with 45,000 nationals residing there.

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Most of the water that the city receives, approximately 70%, comes from its own water resources. Specifically, 62% comes from the desalination plant and 8% from its own galleries and wells. The remaining 30% comes from private suppliers, mainly from galleries and wells located in different areas of the island.

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The municipality of Costa Adeje, in the south of Tenerife, has emerged top once again in the ranking of the most exclusive regions in the Canary Islands.

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Where do the rich live in Tenerife? Most of these villas are located in the municipality of Adeje, namely in its coastal areas: Costa Adeje and La Caleta – Playa del Duque.

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The Canary Islands are thus a tax haven, fully legal in terms of tax advantages, mainly for the so called ZEC, a norm providing great exemptions for those who wish to open an offshore company, according to law requirements.

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In 2022, the United Kingdom was the most important tourism source market for the Canary Island of Tenerife. Close to 2.3 million British tourists visited this Spanish island that year, roughly three times the number of Spanish tourists from the mainland.

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Since 1st January 2021, the UK is now considered as a “third country”. Any British citizen who wants to emigrate to Spain (or stay for longer than three months in the country) will need to apply for a visado nacionale (long-term visa). This includes those who have a second home in Spain, but no form of residency.

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As a UK tourist visiting Spain for tourism purposes, you can stay for up to 90 days within a 180-day period without a visa. This requirement also applies to visitors who need a Schengen Spain visa to enter the country and nationals from countries that have visa liberalisation agreements with the Schengen Area.

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  • Electricity. Set up as a direct debit. ...
  • Water. Water is set up as a direct debit and usually paid every two months from your bank account. ...
  • Community fees. ...
  • IBI – Impuesto sobre Bienes Inmuebles (Council tax) ...
  • Basura (garbage and sewage) ...
  • Insurance.


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It is a very good place to buy property whether it be for investment purposes, a second home or even your primary residence in the sun. Otherwise known as the land of eternal spring due to the fantastic weather which very rarely drops below 20º C in the winter months.

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What souvenirs to buy in Tenerife. Besides the usual key rings, badges, fridge magnets, dolls dressed in traditional costume and beach towels printed with the map of Tenerife, the island also boasts quality products that can also make perfect souvenirs.

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The population is divided into three types of zones; the capital city of Santa Cruz, the southern coastal cities like Las Galletas, El Medano, San Miguel, and Granadilla de Abona, and the northern cities of Puerto de la Cruz, La Laguna, and Buenavista. Most residents live in the capital city.

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Haggling in Tenerife Whilst bartering in supermarkets and chain stores is not commonplace, in smaller, independent shops and markets it is encouraged and a lot of fun! The best places to try haggling: Torviscas Market and Los Cristianos, as well as any knick-knack or antique shops.

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