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What the new holiday-let rules mean for you as government plans crackdown

What the new holiday-let rules mean for you as government plans crackdown


The government is planning a crackdown on holiday lets with new rules that could impact people across the country.

Converting homes into short-term holiday lets would require planning permission under government plans to stop residents being “pushed out of cherished towns”.

The government has said it will consult on the change and on another proposal for a registration scheme for short-term holiday lets.

Airbnb welcomed the government taking forward its plans for the register, but said it wanted to ensure any changes to the planning system “strike a balance between protecting housing and supporting everyday families who let their space to help afford their home and keep pace with rising living costs”.

Below, we take a look at what the new rules could mean for you.

Airbnb welcomed the government taking forward its plans for the register, but said it wanted to ensure any changes to the planning system “strike a balance”

(Getty Images)

What will it mean for my chances of getting an Airbnb at a fair price?

The specific issue the government wants to tackle is the practice of “industrialising” Airbnb and similar rental platforms. This has long been an issue in cities such as Barcelona, with entire apartment blocks bought up by investors specifically to let as short-term rentals to tourists (and business people) who want an alternative to a hotel. The practice distorts the property market by removing capacity that could otherwise be rented or sold to local people.

By introducing a new category for holiday lets, and making it subject to local planning controls, the hope is that speculative acquisition of properties can be regulated. Compared with the current relatively free market, there will be a tightening of supply – leading to less choice and higher rates.

But the original concept of Airbnb – whereby homeowners rent out spare rooms – will not be affected by any changes in the law. The government is also suggesting that property owners could also let out their entire home for 30, 60 or 90 days. Were 90 days to be chosen, that would provide a lot of peak-season capacity.

What are the plans?

Planning permission could be required to convert homes into short-term holiday lets under the plans. People who want to change the use of their property from a ‘C3 dwellinghouse’ to a ‘C5 short-term let’ are set to have a new…

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