New holiday let rules proposed for housing in tourism hotspots

New rules to give communities greater control over short-term lets in tourist hotspots have been unveiled by the government.

A consultation published by the Department for Levelling Up, Housing and Communities will propose requiring planning permission for an existing home to start to be used as a short term let. The measure is designed to help support local people in areas where high numbers of holiday lets are preventing them from finding affordable housing. 

The consultation will also consider whether to give owners flexibility to let out their home for up to a specified number of nights in a calendar year without the need for planning permission. The government said it wanted to support tourism while also protecting local communities and ensuring the availability of affordable housing to rent or buy.

Housing Secretary, Michael Gove, said: ‘Tourism brings many benefits to our economy but in too many communities we have seen local people pushed out of cherished towns, cities and villages by huge numbers of short-term lets.

‘I’m determined that we ensure that more people have access to local homes at affordable prices, and that we prioritise families desperate to rent or buy a home of their own close to where they work.

‘I have listened to representations from MPs in tourist hotspots and am pleased to launch this consultation to introduce a requirement for planning permissions for short term lets.’

The new proposals come as the Department for Culture, Media and Sport launches a separate consultation on a new registration scheme for short-term lets.

Additionally, the scheme aims to build a picture of how many short-term lets there are and where they are located, to help understand the impact of short-term lets on communities.

Culture Secretary, Lucy Frazer, said: ‘This new world of ultra-flexible short term lets gives tourists more choice than ever before, but it should not come at the expense of local people being able to own their own home and stay local.

‘The government wants to help areas get the balance right, and today we have an incomplete picture of the size and spread of our short term lets market. This consultation on a national registration scheme will give us the data we need to assess the position and enable us to address the concerns communities face.’

The proposed planning changes would see a planning use class created for short term lets not used as a sole or main home, alongside new permitted development rights, which will mean planning permission is not needed in areas where local authorities choose not to use these planning controls.

Both of these measures are focused on short term lets – the planning changes and the register will not affect hotels, hostels or B&Bs.

The register of short term lets is being introduced through the Levelling Up and Regeneration Bill, which is currently going through Parliament.

Subject to the outcome of the consultation, the planning changes would be introduced through secondary legislation later in the year and would apply in England only.

Alongside the latest government announcement which will require people to have planning permission before creating a holiday home in England, local authorities across the country have been making the decision on whether to increase council tax on people with second homes as a way of freeing up more properties to be used for affordable housing. 

Image: Sebastian Staines