Short-term lets in Scotland’s capital will require planning permission, after the Scottish Government approved plans from the local authority.
A third of all short-term lets in Scotland can be found in Edinburgh and the city council moved earlier this year to limit numbers, unveiling plans for owners to apply for planning permission in order to change the use of the property from a residential home to a short-term let.
The Scottish Government has now approved the required changes in planning requirements which will see the entirety of the capital become a short-term let control area, after local authorities were given new powers last year.
Housing Secretary Shona Robison said: “Edinburgh was the first local authority in Scotland to propose a short-term let control area and Scottish Government approval represents a major step forward.”
From October, new owners of short-term lets across Scotland will be required to apply to the local council for a licence to operate, while existing owners will have until April 2023.
“We have committed to give local authorities the powers to address concerns about the impact of commercial short-term letting in their communities, should they want to do that,” Robison stated.
“This is an example of that local choice in action – supported by the majority of respondents to the council’s consultation on the proposed designation.
“I recognise the important role which short-term lets play as a source of flexible and responsive accommodation for tourists and workers, which brings many benefits to hosts, visitors and our economy.
“However, we know that in certain areas, particularly tourist hot spots, high numbers of lets can cause problems for neighbours and make it harder for people to find homes to live in.”
The control area will be the first in Scotland cover the city in its entirety.
Edinburgh City Council leader Cammy Day said: “This is the news we have been waiting for after leading the way in campaigning for change.
“I am delighted that ministers have answered our calls and we look forward to reviewing the full details included in the decision released today.
“It paves the way for Edinburgh becoming the first short-term let control area in Scotland. For far too long, too many homes have been lost in our city to the holiday market.
“In fact, around a third of all short-term lets in Scotland are here in the capital, so their associated issues of safety, anti-social behaviour and noise have a detrimental effect on many of our residents.
“We will now progress implementing the changes and the next step should be looking at whether we can apply a cap on numbers, too.”
The changes were passed by the council’s planning committee unanimously earlier this year, while 85% of respondents to a consultation backed the move.
But Airbnb, one of the world’s leading short-term let platforms, has said stricter regulations could hit the economy hard.
Research by the firm, which would likely be among the worst impacted by more stringent rules, suggested that it could cost the economy as much as £133m and 7,000 jobs.
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