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06/10/2022

Short-Term Let Licensing Schemes and Fees

23 local councils have finalised their short-term let licensing policies and operators are able to submit applications.

  • 9 local councils have not – of these, some have just recently finished consultations on their draft policies, while others are still consulting.

You can access a full list of finalised policies in the members area here.

Fees

Based on information by local councils, they ASSC has analysed the short-term let licensing fees published so far which strongly indicates that the figures have not been set on a cost recovery basis. For those secondary lets accommodating four or more occupants, the average fee for a license is over £1,000 which will have implications for the viability of many businesses.

  • The Scottish Government’s More Homes Division have suggested that “the majority of the fees published so far by local authorities … fall within the estimate of £218 to £436 for a three-year licence predicted in the Scottish Government’s Business Regulatory Impact Assessment, and follow our guidance to tailor according to licence type and accommodation size”.
  • However, regardless of theses assurances, it is clear that they are clearly far higher than Landlords Register Fees, of which there are three: Principal Fee: £68; Property Fee: £16 (per let property); and Late Application Fee: £137.
  • Approximately twenty (20) local councils have provided information regarding the level of fees for short-term let licensing thus far.
  • The ASSC believe that there is strong evidence to suggest that fees are not being set on a cost recovery basis, with large variations seen throughout Scotland.
  • As Table A below shows, the average fees for both homesharing/letting and secondary letting for those accommodating more than 4 occupants averages above £1,000. .

You can find a full list of fees here: FEES v8

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