Proposal for blanket short term lets control zone for the Highlands is blocked for now
Proposals to introduce a Highlands-wide restriction on holiday lets similar to that operating in Badenoch and Strathspey has been delayed amid concerns it could ‘kill off’ tourism in the region.
The blanket proposals would have implemented measures that would have seen applications for short-term lets scrutinised more intensely by Highland council officers as change of use planning applications to short term lets.
The restrictions were introduced in Badenoch and Strathspey last year and caused huge divisions.
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Councillors meeting in Inverness instead yesterday opted for a more ‘pragmatic’ and ‘sensible’ approach which would allow local areas the power to decide on restrictions.
Rural councillors accused the proposals of letting Inverness ‘make decisions for them’ and resulted in the city councillors’ proposal being withdrawn until a later date.
Why was the move delayed?
Councillors ultimately found an alternative proposal, originally tabled by Aird and Loch Ness councillor Chris Ballance, to be more appropriate.
His proposal, which was spearheaded by vice convener Ken Gowans, delayed any blanket control zone of short-term lets until council officers could prepare a report on the consequences.
His suggestion was supported by other councillors such as Wester Ross’ Biz Campbell, who said: “We do not cut off the hand that feeds us.”
The plans would also give councillors the chance to implement local area restrictions as have been implemented in the strath.
Councillor Gowans said the more tentative approach - which could still result in an overall clampdown across the region in the future - was ‘pragmatic’ and ‘sensible’.
In support of a scrapping the blanket ban, Skye councillor John Finlayson said: “The introduction of any short-term let control areas across Highland should only be considered at a local level.”
He said: “No area, no local members and no communities need Inverness or other councillors from other areas to make decisions for them.”
Fellow Skye councillor Ruraidh Stewart said the proposals could ‘kill off Highland tourism’ but asked to scrap all restrictions on short-term lets as the current legislation ‘has brought out the worst in communities’.
Non-traditional holiday lets have ‘no welcome’
Inverness councillor Michael Gregson told councillors the traditional Highland bed and breakfast experience was being lost to Airbnb-style visits with ‘no welcome’.
He said problems with housing in the Highlands are being created by companies buying multiple properties for short-term lets, and houses that could be used as homes lay empty.
Councillor Gregson added: “We are losing what could be valuable income in non-domestic rates and council tax.”
Inverness South councillor Duncan Macpherson said locals who feel like they are living next to ‘miniature hotels’ have ‘no recourse’ against the coming and going of visitors to their area of residence.
However, after a period of debate in the chamber, they later agreed to withdraw their proposals.
What were the proposals?
Inverness councillors Michael Gregson and Duncan Macpherson brought forward proposals in the hope it would tighten controls on short term lets across the Highlands.
They argued the 7,011 short term lets that have been approved compared to just four refusals highlights the scale of holiday lets across the region and a lack of action to restrict them.
As part of their proposal, the council would have asked the Scottish Government to review short-term let licensing to allow applications to be rejected on the grounds of “overprovision.”
They also believed the council did not have enough powers with the current licensing legislation to reject applications.
Edinburgh was the first council area to introduce the stricter controls back in 2022.
In the Highlands, the Badenoch and Strathspey ward brought a control zone into their area in March, last year.
What do restrictions involve?
A short term let control zone gives council’s extra powers to manage short-term lets in an area that is particularly popular with holiday lets.
While all holiday let hopefuls have to apply for a short-term let licence, in a control zone applicants also need to apply for planning permission which further scrutinises their proposals.
A council report identifying how individual areas could implement restrictions similar to Badenoch and Strathspey will be prepared for September.
The report will also include further information on a region-wide Highland clampdown of short-term lets, which could still be implemented.
The Association of Scotland’s Self-Caterers warmly welcomed the decision pointing out the sector as a whole contributes £200m to the Highland economy and supports around 7,000 jobs.
CEO Fiona Campbell said: “I’m pleased to see Highland councillors taking a sensible and balanced approach by delaying any further controls on short-term lets.
“The self-catering sector contributes significantly to the Highland economy, and it’s important that we focus on evidence-based solutions that support both the local housing market and the tourism industry.
“The reality is that self-catering units represent a small part of the overall housing picture, and we must avoid conflating the challenges of empty homes and second homes with the contributions of responsible self-catering businesses.”
She continued: “We look forward to continuing to engage with policymakers and other stakeholders to ensure a fair, evidence-based approach to short-term let regulation that works for everyone in the region.
“After careful consideration and debate, this sensible and pragmatic approach reflects a balanced view that will allow for more informed discussions about the best way forward for the sector.”
Claims STLs are causing housing crisis is ‘misunderstanding’
An ASSC spokesperson said: “We also want to address some misunderstandings in the recent debate. Councillor Gregson’s assertion that self-catering units are contributing to housing shortages overlooks the fact that empty homes and second homes in the Highlands significantly outnumber self-catering units.
“The housing issues in the region are much more complex, and it’s important not to confuse the presence of self-catering accommodation with a lack of affordable housing.
“Similarly, Councillor Gregson raised concerns about the loss of the traditional Highland bed and breakfast experience, suggesting that Airbnb-style visits were to blame.
“However, B&Bs and self-catering properties serve different market needs.
“While the demand for traditional B&B accommodation remains, self-catering offers visitors greater independence, flexibility, and affordability - qualities that are becoming increasingly popular with a wide range of tourists.
A Court of Session’s 2023 ruling confirmed that a Planning Control Area (PCA) cannot be applied retrospectively.
