Clarifying Planning and Licensing for Short-Term Lets in Scotland: New Survey

The ASSC is seeking views from operators, local authorities, and other stakeholders on how to resolve the current duplication between short-term let licensing and planning permission.

Please complete the survey here.

The Problem

The existing overlap between licensing and planning is:

• Uncertain – existing licenced operators face uncertainty that their licence is secure.
• Inconsistent – similar cases produce very different outcomes across local authorities.
• Unclear – operators face contradictory requirements between planning and licensing.
• Costly – duplication wastes time and resources for both businesses and councils.

A Balanced Solution

The Scottish Government intends to consult on reforms to simplify the system. The ASSC proposes that:

• Licensing remains the tool to ensure safety and amenity standards across Scotland.
• Planning permission should only apply inside designated Control Areas, and only for new operators, in line with the original policy intent.
• Existing licensed operators should not be required to seek retrospective planning consent.
• Control Areas should only be introduced where robust, up-to-date evidence shows genuine housing pressure.

The Options

There are different legal routes to achieve this outcome. These include amending the Licensing Order, updating the Control Area Regulations, granting Permitted Development Rights, adjusting Use Classes, or issuing strengthened statutory guidance. Each has pros and cons, but the principle is the same: remove duplication and protect existing licenced operators.

Why This Matters Now

The Scottish Government is also consulting on expanding Permitted Development Rights (PDR) for rural housing and town centre living. Their proposals (Q18–19) suggest prohibiting these new homes from being used as STLs. While this may address some issues, it risks adding complexity rather than tackling the root problem.

By clarifying the respective roles of licensing and planning, Scotland can:

• Protect housing supply in pressured areas.
• Safeguard existing lawful operators.
• Support a sustainable tourism economy.
• Provide consistency, clarity, and certainty for operators, councils, and communities.

Our consultation therefore asks whether a clearer, evidence-based approach — licensing for safety, planning only where housing is under pressure — is the fairer, more effective solution for Scotland.