Tag: short term lets

Should Edinburgh be a short term let control area?

A consultation is set to begin next month following consideration of a new report outlining a draft proposal to designate the whole city as a short term let (STL) control area.

If, following the consultation, the Council gives the go ahead and the proposal is approved by the Scottish Government, the new powers would mean all residential properties, which are not an owner’s principle home, being let as STLs in their totality throughout the local authority area would require approval of a ‘change of use’ to a STL from Planning.

Around a third of STLs in Scotland are in Edinburgh.  At the moment, in addition to planning applications made for STLs, to establish whether or not planning permission is required for properties where this is disputed, the Council’s enforcement team looks at each case individually, which is a very lengthy and time consuming process.

The introduction of powers to make a control area, follows the Council calling for new legislation to tighten up the control of STLs to help manage high concentrations of secondary letting where it affects the availability of residential housing or the character of a neighbourhood.

Also, it will help to restrict or prevent STLs in places or types of buildings where they are not appropriate as well as making sure homes are used to best effect in their areas.

If a home has been changed to secondary letting and continually operated as a STL for more than 10 years before a STL control area is designated and no enforcement action has been taken during that time, planning permission is not required. Also, generally, renting out a room/s in your house or letting your property whilst on holiday would also still be allowed if Edinburgh became a STL control zone.

The Scottish Government is currently consulting on legislation to introduce a new licensing regime next year, which the Council also called for, to address the issues of safety, anti-social behaviour and noise. These issues have all had a detrimental effect on communities as the number of STLs has greatly increased across the city in recent years.

The proposal is that all Scottish councils will have to adopt a STL licensing system by October 2022.

In terms of the Government’s proposed new licensing regime, if Edinburgh becomes a control area it will be a mandatory condition of any licensing application to have made a planning application or to have planning permission already when providing accommodation that requires it.

Cllr Neil Gardiner, Planning Convener, said: “Last year we welcomed that our call for new Scottish Government legislation to control STLs was successful. If the proposals are approved by the Planning Committee, we’ll be in a position where we can push forward and ask our residents, the industry and other interested groups, for their views on making the whole of Edinburgh a STL control area.

“We’ll be looking carefully at this feedback before the proposal is finalised as the impact of STLs can be felt in communities across Edinburgh.

“If the Scottish Government approve the whole city as a STL control zone, we’ll be able to manage the number of STLs in the city as properties being let out in these areas would automatically require to have ‘change of use’ planning permission in place.

“It’s also good news that the Scottish Government is proposing that when people apply for a licence we can ask for evidence that they have that planning permission. This is something we’re very keen to do and our ‘Choices’ consultation responses for our next local development plan – ‘City Plan 2030’ – showed overwhelming support for control zones.

“Combined with the proposed licensing regime due to be introduced next year, if approved, this step forward is in direct response to our hard work in pushing for the powers we know we need to deliver for our communities city-wide.”

Maureen Child, Vice-Convener of the Planning Committee, said: “It’s great to see so much progress being made to tackle this issue we have campaigned so hard to address.

“This is so important as STLs have reduced the city’s housing stock, hollowed out communities and caused numerous issues for residents such as noise and other anti-social behaviour.

“I look forward to seeing these new powers being used to improve the lives of many of our residents throughout the city.”

What is a short term let?

Details can be found in Annex B of the Scottish Government’s Planning Circular on Short-Term Let Control Areas.

Background on numbers of STLs

There are a significant number of short-term lets in Edinburgh, with the Airbnb platform providing a useful indicator of the scale of this in the city.

In the period 2016-2019 there was a substantial rise in the number of both entire properties and rooms registered with Airbnb.

Relative to other areas in Scotland the number of Airbnb listings is high making the impact on the city disproportionate.

In 2019, 31% of all Airbnb listings in Scotland were in the city of Edinburgh. The next greatest proportion was 19% in Highland followed by 7% in Glasgow City. This illustrates the magnitude of STLs in Edinburgh in comparison to other areas of Scotland.

Scottish Government launches Short Term Lets consultation

Balancing neighbourhood needs with tourism interests

Consultation on the details of a licensing scheme for short term lets will take place over seven weeks this summer.

Social Justice Secretary Shona Robison has announced the publication of a draft licensing order for consultation, ahead of laying the final legislation at the Scottish Parliament in September.

Stakeholders will now have until 13 August to comment on the licensing order and the draft business and regulatory impact assessment.

Draft guidance documents have also been published to explain how the legislation would work in practice.

Ms Robison said: “Regulation of short term lets is vital if we are to balance the needs and concerns of our communities with wider economic and tourism interests. 

“Short-term lets can offer people a flexible and cheaper travel option and have contributed positively to our tourism industry and local economies across the country. 

“However, we know that in certain areas, particularly tourist hot spots, high numbers of short-term lets can cause problems for neighbours and make it harder for people to find homes to live in.

“By allowing local authorities appropriate regulatory powers through a licensing scheme, we can ensure that short term lets are safe and address issues faced by local residents and communities.

“It will allow local authorities to understand more fully what is happening in their areas and assist with the effective handling of complaints.”

Under the proposed legislation, local authorities will have until 1 October 2022 to establish a licensing scheme, with all short-term lets to be licensed by 1 April 2024. Existing hosts and operators must apply for a licence by 1 April 2023.

The Scottish Government previously withdrew the Licensing Order from the Scottish Parliament in February. This was to allow for draft guidance to be developed with input from the stakeholder working group.

Ms Robison added: “We want to get this legislation absolutely right. A stakeholder working group was established earlier this year to develop guidance on the licensing scheme that was clear, comprehensive and easy to understand. 

“As part of this, the Scottish Government also set out to allay any unfounded concerns and actively explore solutions to any real issues, with a view to making any necessary adjustments to the Licensing Order.

“Stakeholder working group members have helpfully made a range of suggestions for adjustments to the Licensing Order, as well as providing very significant contributions to drafting the guidance.” 

The consultation runs until Friday 13 August 2021.

The consultation paper on draft licensing legislation for short-term lets in Scotland and supporting documents can be found here: gov.scot/publications/short-term-lets/.

Next steps for controlling capital’s short term lets

The Council has published its response to the recent Scottish Government consultation on short term lets. It welcomes the announcement that draft legislation on proposals is expected to be considered by Parliament next month.

The report, which will be considered by councillors at Tuesday’s Policy and Sustainability Committee (1 December), broadly welcomes the Scottish Government’s approach to a new licensing regime and planning control areas and outlines what is required to happen next to allow the Council to implement both licensing and planning controls after the new legislation comes into force next spring.

Council Leader Adam McVey said: “Earlier this year I wholeheartedly welcomed the Scottish Government announcement that our call for a new regulatory scheme had been successful. Since then there has been a consultation on proposals and the government has confirmed a draft will be considered by Parliament in December with new legislation being brought in next spring. All of this progress has been in direct response to our hard work in pushing for the powers we know we need to deliver for our communities.

“We’re seeking some clarification on some technical issues regarding implementation and are still working on how these powers can help us control the number of short term lets in the city through a combination of planning and licensing policies.

“We’re pleased that, through new short term let control areas, we’ll be able to control the number of short term lets in the city as properties being let out in these areas would automatically require to have ‘change of use’ planning permission in place.

“It’s also good news that when people apply for a licence we can ask for evidence that they have that permission. This is something we’re very keen to do and our ‘Choices’ consultation for our next local development plan – ‘City Plan 2030’ – showed overwhelming support for control zones.

Depute Leader Cammy Day added: “Great progress is being made to tackle this issue we have campaigned so hard to address. This is so important as short term lets have reduced the city’s housing stock, hollowed out communities and caused numerous issues for residents such as noise and other anti-social behaviour.

“It’s important though that we manage expectations just now as there’s still a lot of work to be done when the legislation is approved later this year to implement the right licensing regime and planning controls for Edinburgh.

“I look forward to the draft legislation going before Parliament in December and legislation becoming a reality in April so we can use the new legislation to improve the lives of many of our residents throughout the city.”

Further information:

  • The Scottish Government proposes that the licensing system be delivered by local authorities but the regulations will specify a minimum licensing scheme which will be mandatory. Local authorities will have the power to introduce licensing conditions from a specified list of options to address local issues of concern.
  • The Scottish Government’s proposals would not allow the licensing system to control the numbers of short-term let properties by imposing a cap or limit. 
  • Rather, it is the short term lets control area that would be used to manage high concentration of short-term let properties.
  • The proposed regulations would allow planning authorities to designate all or part(s) of their area as a control area.
  • Within such a designated area, the use of a dwelling house for secondary letting will always be deemed to involve a material change of use and requires planning permission.
  • This is consistent with the Council’s desire to have a method of managing high locational concentrations of short-term let properties and clarifying the planning process for such changes of use to bring a simpler approach.
  • The proposals also address a key Council principle about ensuring a joined-up Planning and Licensing approach by including a mandatory condition for licence applications which would require the host to confirm that they have applied for, or obtained planning permission (if required), that it remains current and that they are complying with any planning conditions.