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Italy's Beach Club Operators Face Uncertain Future as EU Competition Rules Loom

Italy's beach clubs face uncertainty as EU competition rules threaten their traditional businesses. How will this impact Italy’s economy and coastal heritage?

aly’s iconic beach clubs, known as lidos, are facing a significant threat as the European Union's competition rules, specifically the Bolkestein Directive, are set to come into force. These rules, which require beach club licenses to be up for tender starting January 2026, could disrupt the long-standing tradition of family-run lidos, many of which have been passed down through generations. The looming changes have left beach club operators, particularly in Fiumicino — a popular coastal area near Rome — grappling with the potential loss of their businesses.


A picturesque Italian beach with neatly arranged sunbeds and umbrellas, representing the traditional lidos at risk due to impending EU competition rules.
Italy’s beach clubs, or lidos, face an uncertain future as EU competition rules threaten to disrupt long-standing traditions and family-run businesses. Photo: Unsplash

Beach clubs play a crucial role in Italy’s economy, with the tourism sector contributing around 6% to the country’s GDP. Lidos vary from simple operations renting out sunbeds and umbrellas to more complex businesses running beachfront restaurants and bars. However, the EU's push to increase competitiveness by opening up the market to new entrants could upend this traditional sector, sparking widespread concern among operators.


Marco Lepre, a beach club owner in Fiumicino, has taken proactive steps to form a group representing 11 business owners along a two-kilometer stretch of the coastline. Their goal is to prepare for the upcoming tenders by pooling resources and skills to present competitive bids. "Our idea is to share projects that will allow the local municipality to stand out and get the highest score," Lepre said. He emphasized that the Italian lido sector is unique in Europe, dominated by family-owned businesses that have invested significant resources and cultivated a distinctive lifestyle over generations.



The impending changes stem from a ruling by Italy's Council of State, which declared that beach concessions cannot be automatically renewed, aligning with the European Commission’s infringement procedure initiated in 2020. While some operators have responded with strikes, others, including Federbalneari Italia, a leading trade organization for seaside workers, have opted to engage with the government in hopes of finding a solution. "We believe that it’s better to sit at the same table with all the actors involved and work together on a reform,” said Marco Maurelli, president of Federbalneari Italia.


The Italian government, led by Prime Minister Giorgia Meloni, has shown a willingness to negotiate with the European Commission, presenting a formal document to discuss potential reforms. This marks a significant step forward, as previous governments have struggled to address the issue. However, time is running out, and the lack of a clear national law regulating beach concessions could lead to steep fines for Italy.


Eleonora Poli, head of the Centro Politiche Europee think tank, warns that the consequences of not having a national law could be severe. "Italy risks very expensive fines," she said, noting that the issue is not new but has been neglected for years. Poli stressed the need for national rules to ensure that concession allocations are renewed fairly and enforced consistently across municipalities and regions.


As the January 2026 deadline approaches, Italy's beach club operators are bracing for a future that could see the end of an era. The outcome of these negotiations will not only impact the livelihoods of those running lidos but also the broader Italian economy and the preservation of its coastal heritage.


Source: Euronews

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