Two problems I forsee, rip people off for 2 seasons in a row and the season after that will be dire, Spain and Portugal will look very cheap. The other problem is local hostility towards holidaymakers, they've had the place to themselves for a while now and they aren't happy about sharing it with outsiders again, the local press are stirring division in this department as well, headline stories tend to be 'beach crowded' or 'house in St Ives sells for £500K, probably to a Londoner
I spend some time in Pembrokeshire. Similar but house prices a lot lower but gaining interest. There was a point where it looked like it would go the same way as Cornwall but house buying and tourist visits started to drop. It started to drop due to relative holiday prices in europe. People got used to that and as prices in europe increased just carried on going. I tried to explain this to a local business type bloke who runs a beach cafe and he said you can rent so and so sleeps 6 for £1500 a week at the time. 6 as usual with this sort of thing would be cramped and fewer could spend a week in say Benidorm for a similar amount and no self catering. The cafe used to turn over £100k+. First time it dropped below that the owner sold it. Now, not sure ~20+ years later I suspect it still hasn't reaching that. He's the new owner.
The Press etc - doing what they usually do. Have to think of something to say.