Data Label: Public Services for the Community Policy
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DATA LABEL: PUBLIC SERVICES FOR THE COMMUNITY POLICY DEVELOPMENT SCRUTINY PANEL SCOTTISH GOVERNMENT CONSULTATION ON THE REGULATION OF SHORT TERM LETS REPORT BY HEAD OF HOUSING, CUSTOMER AND BUILDING SERVICES A. PURPOSE OF REPORT To inform the panel that the Scottish Government is undertaking consultation on the regulation of Short Term Lets by Local Authorities in Scotland. The submission date for responses to be included in the consultation process is the 19 July 2019. B. RECOMMENDATION The panel is requested to consider the council’s proposed response to the consultation set out in Appendix 2 of this report. The report will be submitted to Council Executive for approval on 25th June 2019. C. SUMMARY OF IMPLICATIONS I Council Values Focusing on our customers' needs; being honest, open and accountable; providing equality of opportunities; making best use of our resources; working in partnership. II Policy and Legal None. (including Strategic Environmental Assessment, Equality Issues, Health or Risk Assessment) III Implications for None. Scheme of Delegations to Officers IV Impact on performance None. and performance Indicators V Relevance to Single SOA10 – We live in well designed, sustainable Outcome Agreement places where we are able to access the services we need. SOA11 – We have strong resilient and supportive communities, where people take responsibility for their actions and how they affect others. 1 VI Resources - (Financial, None. Staffing and Property) VII Consideration at PDSP None. VIII Other consultations Police and Fire Service, Finance and Property, Planning, Economic Development and Regeneration, Legal Services D. TERMS OF REPORT D.1 BACKGROUND The Scottish Government has made a commitment to ensure that local authorities have appropriate regulatory powers to balance the needs and concerns of their communities with the wider economic and tourism interests. There is a two sided argument that while short-term lets, such as holiday lets, provide much needed accommodation solutions, help to facilitate tourism and have associated economic benefits, there are a number of problems created such as, a lack of community cohesion, antisocial behaviour, and safety implications due to a lack of regulation. There is currently no statutory definition of what constitutes a short-term let in Scotland. In order for a short-term let to take place a ‘host’ offers short-term accommodation to one or more ‘guests’. Accommodation platforms such as AirBnB, HomeAway and House Trip are used to advertise short-term holiday lets for rent. There has been a significant growth in short term lets in a short timescale across Scotland. The purpose of this consultation is to collect the views of local authorities and their partner organisations to help shape the regulatory approach to short-term lets. D.2 EVIDENCE AND IMPACT OF SHORT TERMS LETS IN WEST LOTHIAN While there is a significant amount of data available about the growth of short term lets in Edinburgh, there is less information available about the impact short term lets are having in other authority areas. According to recent data from AirDNA, a short term let data and analytical platform, West Lothian has 189 active rentals of which 60% are entire homes. In comparison Edinburgh, has 9,107 active rentals of which 68% are entire homes. Appendix 1 shows a comparison of the concentration of short term lets in West Lothian and Edinburgh. It is clear that there is a significantly higher density of short term lets in Edinburgh than in West Lothian. D.3 CONSULTATION AND RESPONSE Officers have highlighted that the proposed definition of short term lets set out in the consultation is overly complex and this should be simplified. The consultation outlines three ways in which a host may make accommodation available to a guest: 1. ‘sharing’ a room or rooms to the guest with the host in residence, 2. ‘swapping’ a room or entire property where the host normally lives, when the host is absent, and; 2 3. ‘secondary letting’ a room or entire property, where the host does not normally reside and the host is absent. Officers suggest that a regulatory framework might be most appropriate for ‘secondary letting’. Particularly those properties with a common stairwell which are most likely to give rise to some of the issues associated with short term lets. Some of the negative associations with short term lets are outlined in the consultation including; noise, inconvenience, antisocial behaviour and lack community cohesion. However, these are balanced with some of the positive impacts short term lets can have on tourism, economic development, and housing options for contract workers. There has been little reporting of positive or negative impacts of short term lets in West Lothian. This may be due to the council having no way of recording complaints which are generated specifically by short-term lets or due to the pepper potting nature of these property types across the local authority area (see Appendix 1). D.4 REGLATORY FRAMEWORK Officers suggested that it would be useful if legislation clarified when planning permission was required to operate a short term let. Officers would also be supportive of having a mandatory registration scheme in place, similar to the current Landlord Registration which would ensure that all appropriate data was collected and monitored. The scheme would need to be self- financing or funded with no additional cost to the council. Where areas of high short term let pressure exist, local authorities should have the option to identify these geographical areas and implement a more stringent licensing scheme which would assist in controlling the number of short term lets in particular geographical areas. Consideration should be given to providing properties with a unique registration number and requiring all short term let communication or advertising (electronic or otherwise) to include the reference number. This mirrors the requirement for the Landlord Registration number to be provided on adverts and permits the customer to identify whether the short term let is suitably registered or licensed. D.5 NEXT STEPS Responses to the consultation on the regulation of short term lets by local authorities are to be submitted to the Scottish Government by the 19th July 2019. The proposed response from the council, attached as Appendix 2 to this report, will be reported to Council Executive on 25th June 2019 seeking approval to be submitted to the Scottish Government by 19th July 2019. E. CONCLUSION The council has been invited to participate in the consultation process regarding the regulation of short term lets by local authorities. The council welcomes the opportunity to participate and to provide a consultation response encompassing contributions from key service areas from within the council. 3 F. BACKGROUND REFERENCES Scottish Government (2019) ‘Short-Term Lets Consultation on a Regulatory Framework for Scotland’, Available [online] at: https://www.gov.scot/publications/short-term-lets-consultation-regulatory- framework-scotland/ Scottish Government (2019) ‘Short-Term Lets: Consultation Annexes’, Available [online] at: https://www.gov.scot/publications/short-term-lets-annexes-consultation- regulatory-framework-scotland/pages/1/ AirDNA (2019) Short Term Rental Data & Analytics, Available [online] at: https://www.airdna.co/ The Antisocial Behaviour Notices (Houses Used for Holiday Purposes) (Scotland) Order (2011) Available [online] at: http://www.legislation.gov.uk/sdsi/2011/9780111012024 Appendices/Attachments: Appendix 1: Short Term Lets - Comparison between West Lothian and Edinburgh, AirDNA Data Appendix 2: West Lothian Council Proposed Consultation Response Appendix 3: Short Term Lets - Consultation on a Regulatory Framework for Scotland Appendix 4: Short Term Lets – Annexes to the Consultation on a Regulatory Framework for Scotland Contact Person: Courtney Gemmell, Planning and Coordination Officer, 01506 283486 Ann Marie Carr, Interim Head of Housing, Customer and Building Services Date of meeting: 11th June 2019 4 Appendix 1 - Comparison of the Concentration of Short Term Lets in West Lothian and Edinburgh Image 1: Short Term Lets (Entire Homes and Rooms) in West Lothian. Data Source: AirDNA May 2019 Image 2: Short Term Lets (Entire Homes and Rooms) in Edinburgh. Data Source: AirDNA May 2019 Appendix 2: Consultation Response Short-Term Lets: Consultation on a regulatory framework for Scotland RESPONDENT INFORMATION FORM Please Note this form must be completed and returned with your response. To find out how we handle your personal data, please see our privacy policy: https://beta.gov.scot/privacy/ Are you responding as an individual or an organisation? Individual Organisation Full name or organisation’s name West Lothian Council Phone number 01506 283486 Address West Lothian Civic Centre Howden Road South Livingston Postcode EH54 6FF Email [email protected] The Scottish Government would like your Information for organisations: permission to publish your consultation response. Please indicate your publishing The option 'Publish response only (without preference: name)’ is available for individual respondents only. If this option is selected, the organisation name will still be published. Publish response with name If you choose the option 'Do not publish Publish response only (without name) response', your organisation name may still be listed as having responded to the consultation Do not publish response in, for example, the analysis report. 1