Navigating London’s 90-Day Rule for Airbnb Hosts

As an Airbnb host in London, navigating the 90-day rule is essential for legal compliance and long-term success. Introduced in 2015, this regulation restricts homeowners from renting out their entire property for more than 90 days per calendar year without obtaining specific planning permission. The rule was designed to help preserve housing for long-term residents while allowing short-term rentals. Staying within the limit is crucial to avoid fines and other penalties. Understanding this regulation and ensuring compliance will help you operate smoothly and maintain a successful short-term rental business in London’s competitive market.

What Is the 90-Day Rule?

The 90-day rule was introduced by the Greater London Authority (GLA) as part of efforts to address the city's housing shortage. It aims to prevent properties from being used exclusively for short-term lets, ensuring that homes remain available for long-term residents. The regulation restricts homeowners from renting out their entire home for more than 90 nights in a single calendar year unless they obtain special planning permission.

This rule applies to short-term rentals in London’s 32 boroughs and the City of London. For hosts on Airbnb, or similar platforms, it’s essential to be aware of these restrictions as the consequences of non-compliance can be costly.

How Does It Work?

Platforms like Airbnb have integrated the 90-day rule into their systems. Once your listing reaches the 90-night limit, Airbnb will automatically block further bookings for the remainder of the calendar year. This automation helps hosts stay compliant without needing to manually track their rental days.

However, if you list your property across multiple platforms or manage bookings independently, you need to take extra care to monitor the total number of nights rented. Accidental overbooking could result in fines or other legal issues. This is where a professional management service like Airhost Agency becomes invaluable. We can ensure your bookings are accurately tracked across all platforms, helping you stay compliant and avoid any inadvertent breaches of the 90-day rule.

For more detailed information, you can refer to the Greater London Authority’s official guidelines here.

Why Was the 90-Day Rule Introduced?

London's housing market has long faced a shortage of available homes, and the rise of short-term rental platforms like Airbnb exacerbated this issue. Many properties were being removed from the long-term rental market and converted into short-term lets, reducing housing availability for residents. The 90-day rule was introduced to strike a balance, allowing homeowners to benefit from short-term rentals while ensuring that properties remain available for those looking for long-term accommodation.

By limiting short-term lets to 90 days a year, the rule prevents a significant portion of housing stock from being used solely for holiday lets, which helps to ease the pressure on the city's housing market.

Why Is Compliance Important?

Compliance with the 90-day rule is vital for several reasons:

• Fines and Legal Consequences: Failure to comply can lead to fines, legal action, or even the forced cessation of your rental activities. Local authorities can demand that you apply for retrospective planning permission, which can be both costly and time-consuming.

• Maintaining Your Reputation: Staying compliant ensures that you maintain a positive reputation as a responsible host, both with the authorities and your guests.

• Avoiding Disruption: Non-compliance could lead to sudden disruptions in your rental operations if authorities take action, impacting your income and long-term rental potential.

What Are Your Options for Extending Beyond the 90-Day Limit?

If you wish to continue renting out your property beyond the 90-day limit, there are several options available to you:

1. Apply for Planning Permission: You can apply for planning permission to let your property for more than 90 days. However, obtaining this permission can be a lengthy process, and approval is not guaranteed. The process involves submitting an application to your local council and demonstrating that the extended rental period will not negatively impact the local housing market.

o Tip: Work with a professional who understands the intricacies of the planning application process to improve your chances of success.

2. Rent Out Individual Rooms: If you don’t want to apply for planning permission, renting out individual rooms is a viable option. The 90-day rule only applies when you rent out the entire property, so you can continue earning rental income by letting rooms while staying under the radar of the regulation.

o Tip: Ensure that each guest’s experience is still as seamless and comfortable as possible, even in a shared setting. Provide clear house rules and consider separate amenities where possible.

3. Switch to Medium-Term Rentals: Another option is to transition your property to medium-term rentals (typically 1-6 months). Medium-term rentals are not subject to the 90-day restriction, and this option allows you to maintain consistent income without violating regulations.

o Tip: Target professionals or students who may require a property for a few months, particularly during high-demand periods like the academic year.

Conclusion

The 90-day rule is a crucial regulation for Airbnb hosts in London, but with the right strategy and support, it can be managed effectively. Airhost Agency helps you optimise your rental income while ensuring full compliance with local laws. Whether you need assistance tracking bookings across platforms, applying for planning permission, or transitioning to medium-term rentals, we’re here to simplify the process and keep your property running smoothly. Contact us today to find out how we can guide you through the 90-day rule and enhance your hosting experience.

‍