From this Summer, the government plans to implement laws mandating that owners of newly established short-term rental properties in England must obtain planning permission for rental purposes. This measure aims to empower councils in regulating the number of licenses granted within a specific area and can be seen as an extension to the system that is already in place in London.
The government stated that these alterations are integral to a comprehensive strategy aimed at safeguarding communities, tackling anti-social conduct, and preserving the ability of local residents to live in their neighbourhoods.
What are the proposed changes?
Under the proposed planning adjustments, a new “use class” classification would be established specifically for short-term lets that are not used as primary residences.
A compulsory nationwide register will be set up to document all short-term rental properties, with the government emphasising that a streamlined approach will be adopted to minimise the administrative burden. Currently, feedback from a prior consultation is under evaluation to ascertain the registration frequency, necessary information levels, and potential annual fees. It is anticipated that this register will be accessible to HMRC and other regulatory bodies for enforcement purposes.
Who will these changes apply to?
Those who enter into short-term lets, where the property is not used as a sole or main home, will be affected, although we understand that the regulations will not have retrospective effect, meaning they won’t apply to properties already being rented on a short-term basis. Existing dedicated short-term lets to be automatically reclassified under the new class without requiring individual planning applications.
Those individuals who let their own home for no more than 90 nights in the calendar year are not expected to be affected.
Further information
The government are now in the process of establishing a mandatory registration scheme and further information is expected to be released in the coming weeks. This will include a timeline, information on the new “use class” and associated permitted development rights – these will allow for a property to change use from a short-term let to a normal residential dwelling and vice versa. They will also allow the relevant local authority to remove these permissions, resulting in a full planning application to be submitted in some cases.
Please get in touch today if you have any queries on how this could affect you.
Email: [email protected]
Phone: 01926 422292
