E1,200 for a licence ? What a fantastic way to really spark some life into the local tourism industry and depressed economy, or could it just be a halfwitted attempt to blag some cash for the boys ?

Do as the locals do, just say you only rent for 2 months, have no records that say otherwise, take cash. Ignore the stupid overly complex laws and regulations, I have never actually met a Catalan who does, and I spend quite a bit of time with them.