News article : October 4, 2022

New licensing scheme for short-term lets comes into effect across Scotland

Property Visits

All short-term let properties will now require a licence under new legislation approved by the Scottish Parliament.

Local authorities are now required to establish a short-term let licensing scheme from 1 October 2022, while existing hosts and operators will have until 1 April 2023 to apply for a licence.

The legislation was developed in response to concerns raised by certain communities about the impact of short-term let properties, including noise, antisocial behaviour and the impact on the supply of housing in some areas. Fines of up to £2,500 can now be imposed on hosts who rent out their property without a licence.

  • What types of properties need a licence?

The Legislation covers properties rented out for a short period, such as for a holiday or business trip. It applies to both the rental of entire properties or rooms in the host’s home, and includes self-catering accommodation, B&Bs and guest houses.

  • How does a host meet the requirements?

The Legislation empowers local councils to create their own schemes, however there is a national criteria for property in Scotland.

  • How does a host apply for a licence?

Applications must be made through the local authority in the area where the let is being offered. It is anticipated that applications will be available through the local authority’s own website.

  • Why are the licences being introduced?

Housing Secretary Shona Robison said:

“This legislation is a significant milestone on our path to bringing in an effective system of regulating short-term lets.

“Our licensing scheme will allow local authorities and communities to take action to manage issues more effectively, without unduly curtailing the many benefits of short-term lets to hosts, visitors and the economy.

“We have already introduced legislation allowing councils to establish short-term let control areas and manage numbers of short-term lets. This is the next step to delivering a licensing scheme that will ensure short-term lets are safe and that allowing them to continue to make a positive impact on Scotland’s tourism industry and local economies while meeting the needs of local communities.

“This legislation covers the whole of Scotland, including island and rural communities, and offers flexibility to local authorities in how it is implemented based on local needs and concerns.

“We appreciate the input from tourism bodies, local government, community organisations, residents and others in reaching this point.”

Further information on this new Legislation is available through the following links: –

https://www.gov.scot/publications/short-term-lets-scotland-licensing-scheme-part-1-guidance-hosts-operators/pages/2/

https://www.gov.scot/publications/short-term-lets-scotland-licensing-scheme-part-2-supplementary-guidance-licensing-authorities-letting-agencies-platforms/documents/

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