Short terms lets should be regulated, consultees respond

Wide public support exists for regulation for short term lets, according to independent analysis of a Scottish Government consultation published today.

More than 1,000 responses were received to the consultation, which ran between April and July this year, from communities, landlords and businesses. They raised concerns including antisocial behaviour, safety fears and the impact on the housing market, arising from short terms lets.

Ministers are considering the impact of operations such as Airbnb in areas such as central Edinburgh, where 10% of residential property is said to be given over to short term lets. Where a property is available for let for 140 days or more in the financial year, it is classified as self-catering holiday accommodation, exempt from council tax, and becomes instead liable for non-domestic rates.

A majority of respondents agreed that a regulatory framework should distinguish between the sharing and swapping of properties, and secondary letting.

Views were mixed as to whether there should be registration or licensing for short-term lets, although there was a degree of support for both elements to be introduced, with some support for a mandatory rather than a voluntary scheme. 

Whatever regulation is introduced, there is a need for enforcement to be undertaken quickly where there is non-compliance. It was commented that local authorities will need additional resources to apply and enforce any regulation.

However there was little consensus on the number of days that should be applied in a days to let limit.

The analysis of responses will be used to inform policy proposals to be announced later this year.

Housing Minister Kevin Stewart said: “Short-term lets can offer people a flexible and cheaper travel option, and have contributed positively to Scotland’s tourism industry and local economies across the country. However, we know that in certain areas, particularly tourist hot spots, high numbers of short-term lets are causing problems and often making it harder for people to find homes to live in.

“The responses to our consultation confirm support for new controls over short-term letting of residential properties in these problem areas.

“We will carefully consider the evidence before setting out our proposals later this year. In the meantime we will continue to work with local authorities to support them to balance the unique needs of their communities with wider economic and tourism interests.”

Click here to view the analysis.