Short-term lettings in London - the Deregulation Act

27 May 2015

Websites allowing travellers to rent out someone’s home (or part of it) on a short-term basis, usually a holiday, have become increasingly popular over the last few years.  They can be cheaper than hotels and attract tourists seeking an alternative stay for their visit.

However, in London, section 25 of the Greater London Council (Greater London Powers) Act 1973 had been cited as a means of regularising such short-term rentals.  The Act specified that the use of a residential property in Greater London for temporary sleeping accommodation by the same person for less than 90 consecutive nights, in exchange for payment or because of the occupant’s employment, is a material change of use requiring planning permission.

As such, letting a property in this way could be considered a breach of planning control and leave the landowner open to enforcement action. The maximum fine for such a breach would be £20,000.

As of 26 May 2015, the Deregulation Act 2015 amended the 1973 Act to include a new section 25A which excludes section 25 where:

  1. The number of nights where the property is used for temporary sleeping accommodation in any one year does not exceed ninety; and
  2. The person providing the accommodation is liable to pay council tax in respect of the property.

Some local authorities had raised concerns on the potential impact of this, however the Government considers the new provision appropriately protects local authorities whilst giving Londoners the flexibility as the rest of the country.

The Government press release is available here.

For more information, please contact:

Further reading

Temporary relaxation of right to work check requirements to end on 16 May

Blog, Legal Updates
07/05/2021
The Home Office has confirmed that the temporary Covid-19 adjusted right to work check measures will cease on 16 May 2021, but what does this mean for employers?
Read more Read

The good divorce

Blog
04/05/2021
In Samantha Jago’s experience, the golden rule for an amicable divorce doesn’t exist, but a big dose of realism goes a long way
Read more Read

DMH Stallard welcomes new colleagues to city office

Blog, News & PR
03/05/2021
Our Family team has grown as we introduce our new colleagues from our recent merger with Brookman Solicitors
Read more Read

A bit of a buzz – new electrical safety regulations switched on

Blog, Legal Updates
29/04/2021
Private landlords must now ensure all tenancies comply with new safety regulations; Kristine Ng considers the new rules
Read more Read
  • Brighton Office

    1 Jubilee Street

    Brighton

    East Sussex

    BN1 1GE

  • Gatwick Office

    Griffin House

    135 High Street

    Crawley

    West Sussex

    RH10 1DQ

  • Guildford Office

    Wonersh House

    The Guildway

    Old Portsmouth Road

    Guildford

    Surrey

    GU3 1LR

  • Horsham Office

    Ridgeland House

    15 Carfax

    Horsham

    West Sussex

    RH12 1DY

  • London Office

    6 New Street Square

    New Fetter Lane

    London

    EC4A 3BF

  • Get in touch