Letting Property In Highland - Badenoch And Strathspey Short Term Let Control Area Begins June 2023

4th May 2023

The decisions today at Highland Council for Ward 20 may soon affect other areas and so anyone renting property may wish to keep up to date if already letting or planning to do so.

On Thursday 4 May 2023 Highland Council's Economy and Infrastructure Committee meeting, Members agreed to the commencement of the Badenoch and Strathspey (Ward 20) Short Term Let Control Area (STLCA) and a formally established date of the 18 June 2023. Members also agreed to Short Term Let License Officers hosting information sessions to inform existing and perspective operators of the requirements the new control area has across Badenoch and Strathspey area.

Economy and Infrastructure Committee Chair, Cllr Ken Gowans said: "The significant reduction of available housing stock in the Badenoch and Strathspey area is such an acute issue for residents and businesses that at the request of the Ward 20 Members and following extensive and measured public consultation, a Scottish Government enactment was granted and the introduction of an STL control area deemed necessary to help support the full-time occupancy housing market.

"It is only one of the tools designed to set a balanced approach to bring more housing back into full-time occupancy, regardless of ownership. The STL control area covers the loss of dwelling houses to the secondary let market, tourism/visitor accommodation such as pods, cabins and huts are not covered, and guesthouses are excluded if the owner/operator resides at the property."

The Highland Council Convener and local Badenoch and Strathspey Member, Cllr Bill Lobban said: "The housing marketplace in Badenoch & Strathspey is in meltdown with local residents and incoming staff unable to find affordable accommodation. The new STL Control Area will not solve the problem overnight but is just one of a mix of innovative solutions we will have to consider going on into the future.

"Badenoch and Strathspey need visitors as they are the mainstay of our economy, but we also need homes for the people who live and work in the area and there is no point building more and more houses if local people are completely priced out of the market by holiday and second homeowners. Currently there is a severe imbalance in the market which this innovation will help correct."

Badenoch and Strathspey Area Committee Chair, Cllr Russell Jones said: “Members unanimously agreed to the commencement of the control zone for Ward 20 to begin 18 June 2023, existing operators will have until 1 October 2023 to apply for both their STL license and the necessary planning permissions for the newly established control area.

“We are pleased that Planning Officers will carry out public engagement sessions to inform and support existing and perspective STL operators of the requirements the control area has across the Badenoch and Strathspey area."

Members delegated authority to Officers to undertake and publish the final legislative arrangements to establish the Short-Term Let Control Area, including the necessary press advertisement, notification of interested parties and other publication work.

What is a Short Term Let Control Area?

The Scottish Government has granted powers to local authorities to designate Short Term Let Control Areas to manage high concentrations of secondary lettings by restricting or preventing short term lets that affect the availability of residential housing and the character of the local community. Control areas can also help local authorities ensure that homes are used to best balance the housing needs in their areas.

What will be required of Secondary Letting owners operating in a Short-term Let Control Area?

Schedule 3 of the Civic Government (Scotland) Act 1982 (Licensing of Short-term Lets) Order 2022, makes it a mandatory licence condition of a STL Licence that if the property is within a STL Control Area that the property is either: -

A) subject to an application for planning permission under the 1997 Act and that application has not yet been determined: or
b) have planning permission in force under the 1997 Act

This STL licensing mandatory condition therefore necessitate all existing properties being utilised for Short-term Secondary Letting which fall within a Short-term Let Control Area to obtain planning permission to continue to operate, even if that property has been operating as a short-term secondary letting prior to the Control Area being established.

There are two avenues for existing operators to obtain permission and the appropriate option depends on how long the property has been used for secondary letting.

If the property has been used for less than 10years then planning permission is required.

If the property has been used as a STSL for more than 10 years, then a certificate of Lawfulness of existing use of development should be sought.

Existing operators who were operating before 1 October 2022 now have until 1 October 2023 to apply for the STL Licence. As such, a ‘transitional period' for existing operators, where no planning enforcement would be pursued between 18 June 2023 and 1 October 2023, unless a property is first refused planning approval.

Why is the STL Control Area necessary in Ward 20?

A Short-term Let Control Area is not a ban on short-term lets, instead it will allow planning policies to be used by local planning authorities to assess applications which change the use of a dwellinghouse to this form of use and allow communities and individuals the right to make representations through the planning application process.

The Council and CNPA allocate sufficient land within their respective Local Development Plans to meet predicted housing needs; however, the loss of existing housing stock out with full-time occupancy is such that additional controls are required to help mitigate the shortage of housing availability that is impacting on people's ability to live and work in an area with high employment opportunities.

The full report can be read here (Item14).
https://www.highland.gov.uk/meetings/meeting/4782/economy_and_infrastructure_committee

Existing or new STL operators across the Badenoch and Strathspey (Ward 20) area can contact the planning development team using email: devplans@highland.gov.uk and information on the STL Control Area can be accessed here
https://www.highland.gov.uk/info/20021/short_term_lets/1033/short_term_let_control_areas