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Call for English councils to be given powers to regulate Airbnb

<span>Photograph: BMD Images/Alamy</span>
Photograph: BMD Images/Alamy

Local councils in England must be given powers to regulate Airbnb and other short-term letting sites in order to alleviate the “intolerable” pressure they put on the availability of local housing, the Green party MP, Caroline Lucas, has said.

Her intervention followed a Guardian investigation that found one Airbnb listing for every four residential properties in some hotspots across Britain. Airbnb has disputed the finding.

Meanwhile, an organisation representing landlords has warned that imminent tax changes will drive an increasing number of landlords towards Airbnb and its rivals, depriving renters of long-term, stable tenancies.

Last month Lucas asked the government to make it easier for councils to impose a 90-day cap on homes let out on Airbnb and other online platforms. Airbnb says the vast majority of properties on the platform are already rented for less than 90 days a year.

She wants the UK government to follow Scotland’s lead. In January Holyrood announced new measures giving local authorities in Scotland powers to regulate short-term lets. This includes a licensing scheme with health and safety stipulations, which would also allow councils to address the concerns of local residents. A tax on short-term lets is also being considered.

Related: Summer rentals to pay off the mortgage: the village changed by Airbnb

“Brighton and Hove city council should be given the powers to regulate this industry, which is having such a serious impact on an already overstretched private rental sector and on more highly regulated hotels and B&Bs, which are being undercut. There needs to be a level playing field,” said Lucas.

“The pressure put on the availability of local housing by Airbnb in some areas of UK is intolerable. Local councils must be given powers to regulate this, so local housing needs are not squeezed out,” she tweeted on Friday.

Airbnb said the Guardian’s data was flawed and that some listings were for hotel rooms, single rooms in homes, and unusual properties such as caravans, meaning their rental did not affect housing stock.

Patrick Robinson, the company’s director of public policy, said: “Airbnb is a good partner to cities and we were the first platform to limit how often hosts in London can share their homes. We are also working with cities across the UK on proposals for a host registration system that we will proactively put to the government later this year to help ensure that rules work for everyone.”

But some critics of the company in hotspot areas say the saturation of their neighbourhoods is changing their way of life. Chris Hayes, a 55-year-old train driver who lives in the North Laine area of Brighton, said his life was being made a misery because five of the 29 cottages in his row were being advertised on Airbnb and similar sites.

“Residents have no way of stopping noise without confrontation. The owners are unknown or uncontactable, the ‘hosts’ do not have contact numbers for out-of-office hours, the council does not have noise abatement officers at night, the police treat it as very low priority,” he said, complaining of being woken by parties and the sound of suitcases being trundled along the alleyway in the middle of the night.

He added: “Airbnbs should be a planning change of use from residential. You need a change of use to convert a home to an office, hotel or shop. Why not to Airbnb?”

In 2018, up to 2,000 homes were being used as short-term holiday lets in Brighton, according to the council – a figure that is likely to have increased since. Between May 2019 and January 2020, the number of active UK listings on the website increased by 14% to 257,000.

The Residential Landlords Association (RLA) warned on Friday that renters were finding it harder to access long-term homes to rent because taxation changes are driving landlords to move into the holiday lettings market.

Last month, research from ARLA Propertymark found that nearly half a million UK properties could be left unavailable for longer-term rent as more landlords exit the market in favour of short-term lettings. Many landlords blame the government for restricting mortgage interest relief to the basic rate of income tax, claiming they will be significantly worse off or even unable to make a profit on their lettings.

The change does not apply to short-term lets, encouraging more landlords to move into that market, according to the RLA. Anyone buying a second home or buy-to-let property has also been hit with a 3% stamp duty surcharge since April 2016 under changes introduced by George Osborne as chancellor.

David Smith, the RLA’s policy director, said: “Government policy is actively encouraging the growth of holiday homes at the expense of long-term homes to rent, which many families need. This is completely counterproductive, making renting more expensive and undermining efforts to help tenants save for a house of their own.

“The chancellor must use his budget to give tenants a better deal by supporting good landlords to provide the homes to rent that they want to live in.”