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28/04/2026

ASSC Response to Scottish Government Short-term Let Licensing Statistics

The Association of Scotland’s Self-Caterers (ASSC) has responded to the latest Scottish Government short-term let licensing statistics to 31 December 2025, warning that the figures fail to reflect the real lived impact of Scotland’s regulatory regime on thousands of tourism businesses, livelihoods and rural communities.

While the Scottish Government publication focuses heavily on application numbers, validations and licence grants, ASSC argues that the statistics provide only a narrow administrative snapshot and do not demonstrate that the policy has delivered meaningful public benefit.

Fiona Campbell MBE, CEO of ASSC, said:

“These statistics measure bureaucracy, not outcomes. They tell us how many forms have been processed, but they tell us nothing about the devastating real-world impact this regime has had on small tourism businesses, families, livelihoods and investment confidence across Scotland.

“The overwhelming majority of applications being granted simply reinforces what ASSC has consistently said from the outset: Scotland’s self-catering sector was never the rogue or unregulated industry it was too often portrayed to be.

“Instead, what we have seen is a draconian and disproportionate licensing scheme imposed on thousands of largely compliant businesses, without clear evidence that it has delivered the housing outcomes used to justify it.”

“Importantly, there now appears to be growing cross-party recognition that Scotland has not got short-term let licensing right. That was increasingly evident throughout recent Scottish Parliament election hustings discussions, where concerns around proportionality, cumulative impact and regulatory balance were raised across the political spectrum.

“We very much hope the next Parliament takes the opportunity to recalibrate this policy approach and restore the balance that is so desperately needed, protecting communities while also recognising the enormous economic, cultural and social contribution made by Scotland’s self-catering sector.”

ASSC stressed that the statistics fail to capture the cumulative and ongoing harm being experienced by the sector, including:

  • business closures
  • reduced investment confidence
  • rising compliance costs
  • prolonged uncertainty
  • operator stress and burnout
  • tourism capacity loss
  • businesses exiting before even entering the licensing process

Crucially, ASSC highlighted that the figures also ignore the significant impact of planning restrictions, particularly in areas such as Edinburgh and parts of the Highlands.

The organisation warned that licence approval figures risk creating a misleading impression that businesses are secure and operational, when in reality many continue to face closure through separate planning controls.

Fiona Campbell continued:

“A licence grant does not guarantee business survival. Many operators who satisfy every licensing requirement are still being forced to close because of planning policy.

“Businesses are effectively being told they are safe enough to licence, yet unsuitable to exist. That contradiction goes to the heart of how incoherent and disproportionate this system has become.”

ASSC also questioned the Scottish Government’s continued reliance on administrative licensing statistics as evidence of policy success, noting that the data does not demonstrate:

  • improved housing affordability
  • increased long-term housing supply
  • reduced homelessness
  • lower rents
  • restored community sustainability

The organisation reiterated its longstanding position that there remains insufficient evidence to show that the scale of regulatory intervention imposed on Scotland’s self-catering sector has been proportionate, necessary or materially effective.

Fiona Campbell added:

“The sector has shown remarkable resilience despite years of regulatory instability, not because of it. Scotland’s self-catering operators have absorbed enormous financial, emotional and operational pressures simply to keep welcoming visitors and supporting local economies.

“The real story behind these statistics is not one of policy success. It is the story of a professional and resilient sector continuing to survive under the weight of excessive and overlapping regulation.”

ASSC is calling on policymakers to urgently refocus attention on proportionality, cumulative impact and evidence-based policymaking, including a more honest assessment of the economic and social consequences experienced by Scotland’s tourism and hospitality sector since the introduction of the licensing regime.

The Scottish Government statistics can be viewed here.

ASSC Press Release can be seen here.

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