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One month for operators to get a short term let licence under controversial scheme


By Scott Maclennan

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The licensing scheme is not without its critics like Airbnb who have objected to similar proposals in the Highlands.
The licensing scheme is not without its critics like Airbnb who have objected to similar proposals in the Highlands.

Short-term let operators in Scotland have been reminded by the Scottish Government that they have just one month to go before the October 1 deadline to apply for a licence.

Licensing was introduced to ensure short-term lets in Scotland are safe and meet consistent quality standards, including having gas certificates and suitable electrical equipment.

But the policy has come in for criticism from 37 MSPs who have written to Humza Yousaf demanding action – including Inverness and Nairn MSP Fergus Ewing and Scottish Tory leader Douglas Ross – calling for a delay.

But just two days ago First Minister Humza Yousaf refused to extend the introduction of the scheme: “There will not be another extension to the deadline. It is the right thing to do to bring this licensing scheme in.”

Easy process

One Highland operator – Maree McLeod, owner of The Gatehouse in Reay, near Thurso – backed the plans saying that “the process of applying for a short-term let with Highland Council was made easy and straightforward.”

Official statistics published today, dating up to the end of March show that across 32 local authorities, no applications submitted for a short-term let licence have been refused.

“The licensing scheme will ensure guests know properties like ours are of the highest standard and are compliant with the latest safety regulations,” she said. “I have spent a lot of time and money ensuring our business is of the highest quality. We try our best to do the best. It is therefore pleasing that other short-term lets will be brought to that same level. By doing this, Scotland will become an international leader in this market.

“The process of applying for a short-term let with Highland Council was made easy and straightforward because of the really helpful team there. I would encourage every owner to go through the process of obtaining a licence. It not only marks out the property as a leader in its class. It marks out the owners too. Our business has improved through this process.”

Quality control

Housing minister Paul McLennan said: “Quality short-term let accommodation is vital to Scotland’s tourism sector and wider economy. It aims to protect the reputation of responsible operators and ensure the sector is regulated in line with other accommodation such as hotels and caravan parks, giving guests assurance of consistent safety standards.

“There has been a lead time of almost two years to the October deadline. Official statistics published today cover only up to the end of March and we know many more hosts have applied in recent months.

“Operators can take confidence that local authorities are working pragmatically to support new licensees through the application process – and we can see from the information that no completed applications had been rejected in the period, or since.

“So, I would repeat calls to everyone within the industry to back the scheme and encourage short-term let operators to apply for a licence in good time and before the October 1 deadline.”

Costs of the scheme to operators

Short term let licences last for three years, the average cost of applying is set out below:

  • Home sharing application median fee range £250 - £390
  • Secondary let application median fee range £333 - £550
  • Median fee for a home share let with occupancy of 2 - £257
  • Median fee for a secondary let with occupancy of 4 - £405
  • Median fee for a secondary let with occupancy of 6 - £451
  • Median fee for a secondary let with occupancy of 10 - £518
  • An average 6 occupancy (often 3 bedroom) property, which required new safety certification, would pay £451 for a licence, which would last for three years, plus around £290 in safety certification and a £59 EPC certificate.

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