Tourism Bodies Back Highland Council Opposition to Short-Term Let Licensing

Three leading Scottish tourism organisations have welcomed a motion passed by Highland Council in support of Scotland’s self-catering sector.

The Association of Scotland’s Self-Caterers (ASSC), Scottish Land and Estates (SLE), and the Scottish Bed and Breakfast Association (SBBA) have all expressed their thanks to councillors who passed the motion, which urges the Scottish Government to ditch its planned licensing scheme for self-catering.

Specifically, the motion calls for the government in Edinburgh to instead adopt the ASSC’s proposed mandatory registration scheme, dismissing the SNP’s plan for licensing as “not appropriate for the Highlands”.

Councillor Gordon Adam, who spoke in favour of the motion, criticised the Scottish Government’s plans for a licensing as being unfair, costly, and especially unfit for purpose in the Highlands.

The motion passed by 20 votes to 18 at full council.

Leaders from all three organisations have come together to congratulate the council on a spirited debate and on showing its support for Scottish tourism.

The short-term letting and wider tourism industry has repeatedly called for the Scottish Government to listen to expert industry concerns and to opt for a more flexible, proportionate, and business-friendly registration scheme.

Scottish self-catering is a vital part of the country’s world-famous tourism offering and the Highlands are well-renowned as having some of the most stunning and welcoming places to stay.

If licensing was brought in, especially in the context of the COVID-19 pandemic which has decimated the industry, there is the real possibility that many small businesses may see their livelihoods threatened.

The ASSC, SBBA, and SLE all reiterate their thanks to Highland Council for taking this principled stand and look forward immensely to continuing to work with them as valued stakeholders and partners.

Association of Scotland’s Self-Caterers Chief Executive, Fiona Campbell, said:

“At a time when business across Scotland, especially those of us in tourism, are focused on recovering from COVID-19 and getting people back through our doors, it is completely risible that the administration in Edinburgh would think about trying to hamper our recovery with such a punitive and restrictive scheme.

“Thankfully, cooler heads appear to be in charge in the Highlands and I’m delighted to be able to thank Highland Council for passing this motion that shows their support for us.

“Self-catering properties in the Highlands offer some of the best holiday experiences in the country and it’s great to know that local government in the area supports us in what we do.”

Scottish B&B Association Chairman, David Weston, said:

“Family-run B&Bs and guesthouses are a cornerstone of Scotland’s tourism offer, and a vital contributor to the fragile economies of our rural and coastal communities, highlands and islands.

“So we hugely welcome Highland Council’s backing for our call, alongside ASSC and others, to the Scottish Government to drop the licensing scheme as currently proposed and instead adopt a low or no-cost, light touch accommodation registration scheme, as we have been suggesting since 2017.

“That would enable the Scottish Government to meet its objectives in protecting consumer safety, level the playing-field between compliant businesses and new operators on platforms, yet at the same time avoid the cost and burdens on microbusinesses which the current proposals represent.”

Commenting Scottish Land & Estates Policy Adviser, Simon Ovenden, said:

‘’We are happy to see a practical and proportionate response from Highland Council on the issue of short-term lets legislation.

“We hope that the Scottish Government listens to Highland Council as it is local authorities across Scotland who will be responsible for implementing the national regulations.

‘While we recently welcomed the Scottish Government recognising the collective call of stakeholders including SLE to have a serious reassessment of its short-term lets proposals, there remains outstanding issues and we are looking forward to meeting with the Cabinet Secretary soon to find a workable solution for all and ensure that rural needs, including those in the Highlands, are fully met.’’

Industry support was also indicated by the following release from David Richardson from FSB Scotland to Highland media:
FSB Scotland and the Association of Scotland’s Self Caterers (ASSC) welcome a decision taken at a full meeting of Highland Council today to support a motion calling on the Scottish Government to drop its short-term holiday lets licencing scheme proposal and replace it with the registration scheme proposed by the ASSC.
 
The ASSC has extensively researched the likely consequences of the proposed Scottish Government scheme on the Scottish economy and has been lobbying hard . It has also been involved in many discussions with the FSB and other interested parties.
 
Before today’s debate, the FSB wrote to senior Highland Councillors drawing attention to some major concerns regarding one of the basis premises used to justify the scheme and requesting that they support the motion.
 
David Richardson, the FSB’s Highlands & Islands Development Manager, said:
 
“There is an absolute need for more affordable accommodation in many parts of the Highlands to house workers and their families and to help reverse the region’s aging and declining population, and this is something that the FSB has been highlighting for some years. However, there is absolutely no evidence to suggest that this new licensing scheme will do anything to help bring this about.
 
“Instead, licences will merely place yet another financial burden on hard-pressed tourism operators, and if some are forced to give up as a result and sell their properties, it is highly likely that these will be snapped up as second homes by people who can easily afford to outbid locals. Fewer accommodation businesses would inevitably lead to reduced visitor footfall and, much more importantly, reduced visitor spend in fragile communities. 
 
“The ASSC’s registration scheme will ultimately achieve a key aim for the Scottish Government without damaging our visitor economy. It’s the right way forward.”

Editor’s Notes

The full text of the motion reads:

“Council strongly urges the Scottish Government to drop its proposed licensing scheme for short-term holiday lets and instead adopt the registration scheme proposed by the Association of Scottish Self Caterers. This would be far less costly for operators and less onerous for the Highland Council to administer, whilst providing proven health and safety protection. The proposed scheme is not appropriate for the Highlands.”

ASSC press release coverage

Press Release: Self-Catering Worth £867m to Scotland

The self-catering sector is worth £867million each year to the Scottish economy, a new report has found.

Economic Impact of Self-Catering Sector to the Scottish Economy has shown that in 2019 the 17,794 traditional self-catering properties across Scotland not only generated £672million in economic activity but encouraged visitors to spend £867million, thereby benefiting other related businesses in tourism and hospitality.

The report, carried out by the specialists at Frontline and commissioned by the Association of Scotland’s Self-Caterers (ASSC), also found that short-term letting in Scotland supports 23,979 full-time equivalent jobs.

Figures were taken from 2019 in order to understand how the sector, which has been battered by the COVID-19 pandemic, performs under normal circumstances.

Self-caterers have faced significant financial problems throughout the pandemic, with many operating at hugely reduced capacity and others facing the prospect of having to close their businesses entirely.

In 2020, due to Covid-19 restrictions, there was a £253 million plunge in guest spend and a drop in the total economic contribution the sector made of around a third (29%).

This underlines the need for government to support small businesses as they seek to recover from Covid-19.

Frontline also partnered with the Professional Association of Self-Caterers and SuperControl to produce similar figures showing the state of self-catering across Great Britain.

Their in-depth research discovered that the self-catering sector is worth £2.6billion to the British economy and supports 69,635 jobs across the United Kingdom.

The new figures cast further doubt over the Scottish Government’s plans for a licensing scheme, which threatens to irreparably damage the vital sector and hamper its ability to help Scotland’s tourism offering recover from COVID-19.

Rather than introducing licensing, which would jeopardise the £867million contribution self-catering makes to the Scottish public coffers, as well as many of the tens of thousands of jobs, the Scottish Government should consider listening to the sector’s exemption proposal.

Association of Scotland’s Self-Caterers Chief Executive, Fiona Campbell, said:

“We already knew that self-catering is an essential part of Scotland’s vital tourism industry, but this report goes to show how significant our contribution is.

“Our £867million contribution to Scotland’s economy is indicative of the professionalism, entrepreneurial ethos, and drive that has made our sector a key pillar of Scotland’s world-renowned tourism offering.

“These figures make the Scottish Government’s continued willingness to thrust a damaging, counter-productive, and badly designed licensing scheme onto our businesses even more baffling.

“One thing is for sure, if the government is to rely on our huge contribution to the Scottish public purse, the last thing they should do is cripple our sector in this way.

Economic Impact Study –Scotland Report

Economic Impact Study-UK Report

Press Coverage

Scotsman, Calls for licensing exemption as report reveals self-catering sector worth £867m to Scottish economy, 27/08/21

Edinburgh Evening News, Calls for licensing exemption as report reveals self-catering sector worth £867m to Scottish economy, 27/08/21

Press & Journal Self-catering sector worth £867m to Scottish economy – government urged to make licensing exemption, 27/08/21

Dumfries and Galloway Standard

ASSC Submits Critical Evidence to Third Scottish Government Short-Term Lets Consultation

ASSC Submits Critical Evidence to Third Scottish Government Short-Term Lets Consultation

The Association of Scotland’s Self-Caterers has submitted its response to the latest Scottish Government consultation on short-term lets.

In its comprehensive and evidence-based submission, the trade body representing the Scottish self-catering sector points to serious government failures to acknowledge the industry’s concerns over the impending licencing scheme.

If implemented, the scheme could cost a modest three-bedroom self-catering property £2,000, far in excess of the Scottish Government’s estimate.

The document points out that the heavy-handed scheme remains completely unfit for purpose even in its revised form and has been unable to convince the industry of the data supporting it.

It also highlights that only superficial changes have been made to support self-catering operators or B&Bs

The ASSC has also argued that the proposals will have a hugely detrimental impact on Scotland’s tourism sector, particularly in rural and remote areas, and form part of an ill-fitting and overreaching approach that fails to consider or address localised issues.

Self-caterers have also drawn attention to legal issues with the licensing scheme, suggesting that it is incompatible with the Provisions of Services Regulations, European Convention on Human Rights, and the Scottish Regulator’s Strategic Code of Practice on several serious points.

The licensing scheme, combined with the control area plans which may be imposed on operators in Edinburgh, would comprise the most restrictive framework in Europe which has the potential to scupper the industry’s recovery in the aftermath of the COVID-19 pandemic.

Rather than continuing along this path, which threatens the future of a key part of Scottish tourism, the ASSC has urged legislators to consider a mandatory programme of registration containing health and safety provisions, an approach that has near-universal industry support.

Association of Scotland’s Self-Caterers Chief Executive, Fiona Campbell, said:

“The Scottish Government’s licensing proposals continue to represent a real threat to Scottish self-catering and are comprehensively and demonstratively unfit for purpose.

“Rather than this blunderbuss approach, the government should listen to our concerns and evidence-based insight, and seriously consider the industry’s mandatory registration scheme.”

“While up until now this process has been a string of disappointments and let-downs, it is not too late for the government to change its course, stay to true to its pre-election promises to the industry, and back small business for a sustainable recovery from Covid-19.”

Read the Consultation Response: ASSC Consultation Response 13.8.21

Read More:

SNP facing legal threat over plans to crackdown on Airbnbs

SNP minister: Short-term lets plans could penalise rural businesses

SNP confirms short-term lets licensing delay as opt-out plans drawn up

‘It’s a sham’: Tourism bosses quit SNP’s Airbnb crackdown group

SNP facing legal threat over plans to crackdown on Airbnbs