Edinburgh landlords have won a third legal challenge against the City of Edinburgh Council’s controversial short-term letting licensing scheme. More than 450 landlords were initially suspended from operating after applying for letting licences without securing the required planning permission. However, a recent court ruling has forced the council to reverse its decision and lift the three-month suspensions.
Court ruling forces council U-turn
The legal challenge was successful after a judge ruled that the council had acted improperly by applying a “blanket and arbitrary approach without giving proper consideration to the particular circumstances of each application.” This ruling has led to the council reversing the suspensions and agreeing to issue licences for applications that were otherwise complete and free of other outstanding issues.
While this may be a win for landlords, the council cautioned that the ruling should not be interpreted as an exemption from planning permission requirements, stating: “This should in no way be taken as an indication of acceptance that planning permission is not required in relation to any application.”
Short-term let concerns prompt stricter regulations
The City of Edinburgh Council’s licensing scheme was introduced in response to growing concerns about the impact of short-term lets, particularly in residential areas. Hosts are required to apply for a licence, and those listing entire properties on platforms like Airbnb must also seek planning permission or provide a ‘certificate of lawfulness’ if the property has been used as a short-term let for over ten years.
Despite the council’s efforts to regulate short-term lets, the scheme has faced significant opposition from landlords and industry groups. Many argue that the process is overly burdensome and that the legislation is flawed.
Implications for other councils
The Association of Scotland’s Self Caterers (ASSC) believes the ruling has wider implications for landlords in other council areas across Scotland. Fiona Campbell, the chief executive of ASSC, commented: “This is now the third successful challenge to the legislation, and we will continue our efforts to make any necessary interventions in Edinburgh and beyond in the best interests of our members.”
The legal battles have highlighted significant flaws in the legislation governing short-term lets, with landlords repeatedly challenging the council’s approach. Last summer, landlords also successfully overturned a policy that presumed against allowing entire flats in tenement buildings to be used as holiday lets.
Consultation and future changes
The council’s short-term letting licensing scheme remains under review, with a consultation on its effectiveness set to close on 14th October. As the legal challenges continue to mount, many in the short-term letting sector are hopeful that the scheme will be adjusted to better suit both landlords and tenants.
This latest ruling underscores the ongoing tensions between regulatory bodies and landlords in the short-term rental market. For now, landlords in Edinburgh can breathe a sigh of relief, but the future of the city’s short-term let regulations remains uncertain.
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