Consultation launched as government announce holiday rental rules in tourist hot spots

The proposals mean there'd be a requirement for planning permission before allowing people to rent properties as short term lets in tourist hot spots

Author: Oliver MorganPublished 13th Apr 2023
Last updated 9th Jun 2024

People wanting to rent their homes as 'short-term lets' in tourists hotspots could soon have to apply for planning permission.

The move, announced by the Department for Levelling Up, Housing and Communities, is set to give communities better control over short-term lets while strengthening the tourism sector too.

Now, a consultation has been launched for locals to have their say on the proposals, which include forcing homes to have planning permission before they're used as short-term lets, as well as looking at whether to give the owners the flexibility to let out their home for a specific number of nights a year without the need for the permission.

Short-term lets are now a significant part of the UK’s visitor economy

The Department for Levelling Up, Housing and Communities says short-term lets provide increased choice and flexibility for tourists and business travellers, and also those attending major sporting and cultural events.

However, the Government wants to make sure the country reaps the benefits of diverse and sustainable accommodation and support the visitor economy, while also protecting local communities and ensuring the availability of affordable housing to rent or buy.

Speaking to us, St Austell and Newquay's MP Steve Double said: "Local people have not been able to find the properties to live in, and businesses have not been able to get the staff they need because so many properties have been converted into holiday lets.

"This move will let the local council make sure the balance between homes for locals and letting tourists come and stay is kept right.

"It's really positive that the Government have listened to address this issue, and there is a relief that when this policy takes effect, hopefully, in the years to come, we won't have hundreds of local people evicted from their homes every spring to be let out to the holiday rental market.

"I think that will be very, very welcome to many local people."

Secretary of State for Levelling Up Housing and Communities, 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 hot spots 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 also launches a separate consultation on a new registration scheme for short-term lets.

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.

The DCMS consultation follows a call for evidence held earlier in the year, the results of which are published today and indicate broad support for a registration scheme across the sector.

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 support sustainable communities, supporting local people and businesses and local services, and would see a planning use class created for short term lets not used as a sole or main home, alongside new permitted development rights.

These rights would mean planning permission wouldn't be needed in parts of the country where local authorities choose not to use these new planning controls, which are being proposed by the Government.

Hotels, hostels and B&Bs aren't included in the proposals.

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.

You can find out more about the Government's consultation - and take part in it - here.

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