Brussels outlines new rules for short-term rental sector

Housing – Photo © RTimages – Fotolia

(BRUSSELS) – The EU Commission proposed new rules Monday to enhance transparency in the field of short-term accommodation rentals and boost their development as part of a sustainable tourism sector.

Short-term rentals are developing fast in the EU, largely boosted by the platform economy. They represent about one quarter of all tourist accommodation in the EU and their number is increasing significantly across the EU.

While short-term accommodation bookings offer benefits for hosts and tourists, the EU executive believes they can create concerns for certain local communities struggling, for instance, with a lack of affordable housing.

It says the new rules will improve the collection and sharing of data from hosts and online platforms. This will, in turn, inform effective and proportionate local policies to address the challenges and opportunities related to the short-term rental sector.

The new proposed rules will help to improve transparency on the identification and activity of short-term accommodation hosts, and on the rules they have to comply with, and will facilitate the registration of hosts. They will also tackle the current fragmentation in how online platforms share data and, ultimately, help prevent illegal listings. Overall, this will contribute to a more sustainable tourism ecosystem and support its digital transition.

The new proposed framework will:

  • Harmonise registration requirements for hosts and their short-term rental properties when introduced by national authorities: registration schemes will have to be fully on-line and user-friendly. A similar set of relevant information on the hosts and their properties, namely the “who”, “what” and “where”, should be required. When completing registration, hosts should receive a unique registration number.
  • Clarify rules to ensure registration numbers are displayed and checked: online platforms will have to facilitate hosts to display registration numbers on their platforms. They will also have to randomly check whether hosts register and display the correct numbers. Public authorities will be able to suspend registration numbers and ask platforms to delist non-compliant hosts.
  • Streamline data sharing between online platforms and public authorities: online platforms will have to share data about the number of rented nights and of guests with public authorities, once a month, in an automated way. Lighter reporting possibilities are foreseen for small and micro platforms. Public authorities will be able to receive this data through national ‘single digital entry points’. This will support well-targeted policy making.
  • Allow the reuse of data, in aggregate form: the data generated under this proposal will, in aggregate form, contribute to tourism statistics produced by Eurostat and feed into the upcoming European data space for tourism. This information will support the development of innovative, tourism-related services.
  • Establish an effective framework of implementation: Member States will monitor the implementation of this transparency framework and put in place the relevant penalties for non-compliance with the obligations of this Regulation.

Proposal for a Regulation on data collection and sharing relating to short-term accommodation rental services

New Rules on Short-term Accommodation Rentals - guide

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