Proposal for a Licensing Scheme to Establish Equality and Enhance the Quality of Tourist Accommodation in Wales

The Welsh Government launched a consultation on establishing a statutory licensing scheme for all visitor accommodation providers in Wales. 

This proposed scheme is intended to level the playing field for all businesses operating in the sector and ensure they meet the necessary standards and comply with statutory obligations.

The Welsh Government’s Co-operation Agreement with Plaid Cymru aims to address the negative impact of second homes and short-term holiday lets on the availability and affordability of housing for local people in our communities. 

According to the announcement, a statutory licensing scheme could provide a comprehensive database of precisely who is operating in the industry and a mechanism to address compliance concerns.

Economy Minister Vaughan Gething said: “The visitor economy is changing rapidly, and the role of visitor accommodation presents major challenges for communities across the world. For example, the growth of online booking platforms has brought many benefits, such as new routes to market and increased consumer choice. However, we are aware of the concerns around compliance with existing requirements and the impact of short-term lets on housing stock and our communities.”

Designated Member Siân Gwenllian commented: “There has been a huge increase in the short-term holiday let sector in recent years, which is exacerbating the housing crisis in Wales. While we have a regulatory framework in place in Wales for private rental accommodation, there isn’t one that covers all types of visitor accommodation. Our proposals will bring greater safeguards to local communities on the use of residential dwellings as short-term holiday lets in particular, whilst enhancing the visitor experience and visitor safety in Wales.”

According to the announcement, the proposed licensing scheme is essential in ensuring the highest safety and compliance standards for visitor accommodation in Wales. It is also a way of protecting local communities from the adverse effects of short-term holiday lets. 

The consultation is open until 17 March 2023, and all visitor accommodation providers are encouraged to have their say in the consultation process.

The announcement says that the visitor accommodation sector in Wales must be provided with a safe and secure environment where they can operate. The proposed licensing scheme is an excellent way of ensuring that this happens. By ensuring all businesses comply with the necessary standards, the Welsh Government will proactively protect local communities, visitors and businesses.

The Consultation can be found here https://www.gov.wales/statutory-licensing-scheme-all-visitor-accommodation-providers-wales, and responses are due by 17 March 2023.