Holiday lets contribute to the economy, create jobs, and support tourism. The Government backs small businesses, including responsible short-term holiday letting, which brings significant investment to local communities. At the same time, it is important to acknowledge the impact that large numbers of holiday lets concentrated in an area can have on local communities.
The Government will abolish the Furnished Holiday Lettings tax regime. Importantly this will eliminate the tax advantage for landlords who let short-term furnished holiday properties over those who let residential properties to longer-term tenants. This does not stop people conducting short term lets, but rather ensures that the system is equal for those letting long term or short term. This will level the playing field between short-term and long-term lets and support people to live in their local area.
DS