A new law requiring operators of short-term lets (STL) to obtain a license has been implemented across Scotland. Under these regulations, anyone offering STL accommodations must have
a license; otherwise, they could face a fine of up to £2,500 and a ban from participating in the scheme for a year.
These measures were introduced to address issues related to housing demand and anti-social behavior, particularly in STL hotspots like Edinburgh. Affected by these changes are bed and breakfasts, homes rented through platforms like Airbnb, and the short-term renting of spare rooms.
While the Scottish government claims to have taken feedback from the sector into account and extended the deadline by six months, critics argue that the legislation is flawed and poses a threat to Scotland's tourism industry and the broader economy.
Although the new STL regulations apply nationwide, individual councils will manage licenses, and fees will vary depending on the local authority, property size, and type of let. Some councils are even requesting architects' drawings for each rental unit, while Edinburgh requires full planning permission for a change of use, discouraging some from applying for licenses.
The Scottish Bed and Breakfast Association reported that, in August, two-thirds of B&B owners were contemplating closing their businesses due to STL restrictions. Critics argue that the demand for STL accommodations is growing, and the changes force property owners to spend large sums of money on obtaining licenses for businesses that have been operating for years.
Former Green MSP Andy Wightman, a proponent of STL regulation, believes it is crucial to know who operates STLs in an area. He notes that many operators have previously functioned without planning consent, which should not be the case. While he supports licensing, Wightman opposes including B&Bs in the scheme.
In summary, the new licensing scheme for short-term lets aims to regulate the industry and address concerns related to housing demand and anti-social behavior. However, it has raised debates about its impact on Scotland's tourism sector and its economy. Photo by Stephen Sweeney, Wikimedia commons.