The number of short lets in Scotland fell last year as the sector felt the impact of its licensing scheme clampdown.

Glasgow saw a 10% reduction in availability, followed by Edinburgh (8%), Argyll and Bute (3%) and Aberdeen (2%). Conversely, in England many areas have seen large increases in short-term let listings, led by Hartlepool (122%), Blackburn (100%), Tamworth (100%) and Rochdale (89%).

Labour has previously promised to explore a discretionary licensing scheme in England, while Scotland introduced its scheme in October 2022, which took effect for existing properties in October 2023.

Ditched

Estate agents in Scotland have previously reported that scores of landlords ditched holiday lets for tenancies as the stricter rules kicked in, deterred by costs and uncertainty around regulations.

During last year, the number of short lets hosts rose in England from 413,690 to 495,670 but fell in Scotland from 65,120 to 64,540. Scotland was the UK country with the biggest drop in the number of guest nights between quarters three and four - 53% - while England had the smallest decrease with 32%.

Dominated

The UK’s building maintenance standard SFG20 has conducted a UK-wide analysis to determine the areas most at risk of becoming dominated by short-term lets.

Paul Bullard (pictured), product and professional services director, says as landlords snap up properties for short-term and holiday rentals, housing supply for long-term residents continue to dwindle, driving up both purchase and renting prices.

He also warns landlords of the potential financial and legal consequences of not focusing on maintaining their short-term lets in line with tightening regulations, including financial penalties of £150,000.