London Councils ‘extremely concerned’ over new holiday lets rules

London Councils estimates there are at least 43,000 short-term lets in the capital – equivalent to one in every 85 London homes – and believes a significant portion of these would qualify for a new planning category, known as “use class”.

The group, which represents London’s 32 borough councils and the City of London, argues that automatically reclassifying existing short-term lets – properties not used as the sole or main home – into the “use class” without requiring planning permission “undermines efforts to preserve homes for residents amid worsening housing pressures and homelessness rates”.

Darren Rodwell, London Councils’ executive member for regeneration, housing and planning, said: “For too many years the short-term lets market has been growing out of control.

“With housing and homelessness pressures in the capital worse than ever, boroughs are extremely concerned about losing permanent housing stock. The priority has to be ensuring homes are available for long-term residents.

“We welcome the government’s move to improve regulation of the sector, but the blanket reclassification of existing short-term lets into a new use class could strip the capital of thousands of homes.”

He said the boroughs were “keen to work with ministers on developing these proposals further”.