New legislation governing short-term accommodations in Scotland is being criticized as a setback for rural and diversified farming businesses.
According to a report, the new legislation was introduced to the Scottish Parliament to combat a lack of housing supply in popular tourist destinations.
It requires holiday properties to obtain authorization from the local authority to make sure that they comply with a certain standard.
All short-term rentals are now subject to new rules, including holiday cottages, glamping sites, pods, and shepherd’s huts.
According to the Association of Scotland‘s Self-Caterers, the self-catering sector contributes £867 million annually to the Scottish economy.
However, rural businesses have called the rule an unnecessary and unwelcome addition, particularly since the revenues of the hospitality sector have decreased because of the pandemic.
Annie Lane, a rural business consultant with the Land and Property Agency Galbraith, said that an unintended consequence was the heavy burden placed on small rural businesses.
“Scotland‘s tourism sector is one of our great strengths, but if every small glamping site or holiday cottage has to apply for a license, there will be a significant impact.”
“At a time when the longer-term options for rural businesses are in a state of flux and agricultural costs are rising, this over-regulation of holiday lets seems excessive.”
Local authorities have until October 2022 to create the short-term accommodation licensing scheme. Existing businesses must wait till April 2023 to apply for a license.
Licenses are granted for an initial period of up to three years, and the fees are likely to be charged; however, the amount at which they’ll be charged is believed to be the sole discretion of the local authorities.
The property must comply with the repairing standard, and the owner or landlord must supply a copy of the license and additional details for guests.
Lane explained that the legislation had been introduced to address concerns raised by some communities about the impact of short-term letting on housing supply in certain areas.
“By allowing councils to manage the number of short-term lets in areas of high concentration, it is hoped that the availability of housing for local people can be improved,” Lane said.
“However it seems that some of the wider issues in the supply of housing have not been addressed, and this legislation will simply damage the rural tourism sector unnecessarily.”
I was pretty intrigued by the new rules in Scotland, aimed at sorting out housing issues in tourist hotspots. I wonder how these regulations will shake up the tourism scene there. It’s always cool to think about the effects of such changes. Maybe there are other ways they could handle this situation too.