The tourism industry and short-term rentals have been blamed for problems that have nothing to do with them, according to the European Holiday Home Association, a lobby group.
Despite these challenges, the popularity of short-term rentals continues to grow. In the second quarter of 2023, there was a 15.8pc increase in the number of guests staying in short-term rentals in Europe compared to the same period last year.
Viktorija Molnar, acting secretary general at the European Holiday Home Association, says that short-term rentals have been blamed for problems in cities like Florence, which recently banned such rentals in its historic centre due to concerns about overtourism.
She emphasised that they are often scapegoated for existing urban problems, with critics blaming the sector for various civic woes. Molnar also highlighted the poor management of tourism in cities like Barcelona and Amsterdam, leading to overcrowding and local backlash against tourists.
Molnar expressed concerns about the national and local regulations targeting short-term rentals in member states. She noted that these rules are sometimes unjustified and disproportionate, resembling hotel regulations even for private individuals engaged in short-term rentals. The European Commission initiated an infringement procedure after the EHHA filed a complaint against Brussels for its stringent regulations. Currently, Belgian authorities are in negotiations to address this issue.
The hotel lobby in Europe has a strong influence, with individuals from the hotel sector holding positions in housing ministries or even as ministers themselves. Molnar acknowledged their strong connections and the impact of their lobbying efforts.
A significant regulation concerning the collection and sharing of short-term rental data is expected to be adopted by December. The EHHA says continued effort will be required during the implementation phase. The EHHA is also involved in the “VAT in a digital age” initiative, which raises concerns about the implications for Value Added Tax (VAT). This initiative may lead to online platforms charging additional taxes, potentially affecting prices for private individuals and small businesses operating on these platforms.
The AGM of the Irish Self Catering Federation, which is affiliated to the IHHA, will be held on November 14.
