Short-term Lets: Regulation

Helena Dollimore Excerpts

Thursday 12th September 2024 Westminster Hall

[Ms Polly Billington (East Thanet) (Lab)]

It is a pleasure to serve under your chairship, Mrs Harris. I thank my hon. Friend the Member for Cities of London and Westminster (Rachel Blake) for securing this debate.

My constituency is made up of three towns that symbolise English seaside holidays: for more than two centuries, people of all classes have visited Margate, Broadstairs and Ramsgate to take the fresh sea air and enjoy our marvellous beaches and amazing microclimate. Where and how people stay has changed over the years. As boarding houses, holiday camps and large hotels have declined, short-term holiday lets have opened up the chance for many to take a short trip to the coast; but that is not without its drawbacks for many in our community.

Hotels and places offering bed and breakfast are regulated and licensed, which ensures good standards of safety and environmental health for customers, and means that the services the council needs to provide for such establishments can be planned for. Appropriate business rates also mean that the services can be provided. None of that happens with unregulated short-term holiday lets, facilitated by platforms optimistically set up as part of the sharing economy. Instead, as the popularity of British holidays and short breaks has risen, not least since the pandemic and Brexit, so have property prices in places such as East Thanet, as people buy homes as a second place for them to stay at weekends and then rent them out when they are not there. Data compiled by VisitEngland suggests that there has been a 75% increase in short-term holiday lets since 2019: more than 2,000 properties are available for short-term let this year.

[Helena Dollimore (Hastings and Rye) (Lab/Co-op)]

My hon. Friend and I both represent beautiful coastal constituencies. Does she agree that we must get the balance right between the contribution that short-term holiday lets make to the tourism and hospitality economies in our constituencies and the need for affordable homes for locals, to address the acute housing crisis that both our constituencies face?

[Ms Billington]

I could have not said it better myself.

The large increase in short-term holiday lets has left whole streets dark and empty for months on end as the days shorten, with perhaps a small glimmer of light and activity over Christmas and new year. One of my constituents said in an email only today:

“We don’t have any neighbours: they are all Airbnbs…Our lives are being hugely impacted by huge parties each weekend!”

The problem affects the community in many ways. How can primary school places be planned for when family homes do not hold families? How can the council prepare for waste collection and disposal from effectively commercial premises when it does not know where they are or when they are occupied? How do the police deal with the increase in antisocial behaviour that follows from the proliferation of party flats when they are not licensed or regulated? How does a whole community deal with spiralling property prices, driven by an increased appetite to make money from homes rather than live in them?

If Members search on Zoopla or Rightmove for rental prices in Thanet, they will find 140 flats and houses available for less than £1,000 a month. Then if they search Airbnb for Margate, Ramsgate, Broadstairs or equivalent places to stay, they will find more than 750 short-term lets next spring for £100 or more a night. There can be no doubt that such a mismatch is helping to drive house price inflation, rent inflation and the shortage of housing availability in Thanet where, during the summer months, a flat can be rented out as a short-term holiday let for potentially three times or more the rent it would fetch as a home for someone.

We are a seaside community made up of holiday resorts. We are proud of our heritage and know that it will and should be part of our economic future. Yet the beauty and attraction of the place that people come to visit needs to be underpinned by a strong community, with decent services and affordable homes for those who live there all year round. There must be a balance.

I am confident in my advocacy for regulation, not just because of the concerns raised by residents but because voices within the industry in my community also see the impact of rising house prices and stretched public services on their families and employees. The Minister should be in no doubt: East Thanet is ready for regulation and licensing to support our holiday industry and our community. I only urge that the package of measures really is designed with communities like ours, not imposed on them. Ideas on how to license, introduce and enforce standards, plan services and facilitate a process that works for those who offer the service, as well as those who use it, should be taken on board from those who are already living with the consequences of an unbridled market with few, if any, checks or balances.

We know we are not alone in Thanet. Many of my colleagues along the Labour Benches also represent coastal communities. This debate shows that the unregulated nature of the market is blighting a host of communities where people rightly go to enjoy themselves and contribute to the local economy. I urge the Minister to consider how the package of powers and tools can support our coastal communities in particular to thrive.