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Scotland · Mandatory Short-Term Let Licensing: ALL STL Operators Must Hold a Licence From Their Local Council — Criminal Offence to Operate Without One · Four Types: Home Sharing (Part of Own Home; Host Present); Home Letting (Whole Home; Host Absent); Secondary Letting (Not Principal Home — Includes Airbnb BTL Landlords); Home Letting + Home Sharing · Existing Operators: Licence Required by 1 October 2023 · New Operators: Must Apply Before Commencing · Edinburgh STL Control Zone (Whole City From 5 September 2022): Secondary Lets Also Require Planning Permission (Change of Use) in Addition to the STL Licence · Council-Administered; Scottish Government Framework Conditions; Councils Set Own Fees · Distinct From Scottish PRT Regime (Which Applies to Lets of 6+ Months as Main Home)

Short-Term Let Licensing Scotland 2026 — Mandatory STL Licence, Four Types, Edinburgh STL Control Zone, Planning Permission and Criminal Offence for Unlicensed Operation

Scotland has introduced a mandatory short-term let licensing regime under the Licensing of Short-term Lets (Scotland) Order 2022 (LSO 2022), made under the Civic Government (Scotland) Act 1982 (as amended by the Planning (Scotland) Act 2019). Every short-term let operator in Scotland — including buy-to-let landlords who let residential properties on Airbnb, Vrbo, Sykes Cottages, or directly on a short-term basis — must hold a valid STL licence from their local council. Operating a short-term let without a licence is a criminal offence under s.7(7A) of the Civic Government (Scotland) Act 1982 (as inserted). All existing STL operators were required to apply by 1 October 2023.

The STL licensing regime applies across Scotland but is administered locally by each of Scotland's 32 local councils. Each council sets its own application fees (within Scottish Government framework ranges), processes applications, determines conditions, and can attach additional conditions reflecting local circumstances. The Scottish Government has prescribed a set of mandatory licence conditions (set out in Schedule 3 to the LSO 2022) that apply in every council area — covering insurance, fire safety, gas safety, electrical safety, carbon monoxide detection, planning compliance, and behaviour management. Councils may add further conditions on top of the mandatory ones.

The Edinburgh STL control zone, in force from 5 September 2022, is the most significant additional layer of regulation for Edinburgh short-term let operators. Within the City of Edinburgh Council area (the entire local authority area — not just the city centre or tourist zones), operators of secondary lets (properties that are not the host's principal home — including Airbnb BTL landlords) must obtain planning permission for a change of use from Class 9 (houses) to short-term let use, in addition to obtaining the STL licence. This requirement applies to secondary letting only — home sharing and home letting within a principal home do not require planning permission within the control zone.

The four STL licence types, mandatory conditions, Edinburgh control zone and interaction with the Scottish PRT regime

The complete framework for Scotland's mandatory short-term let licensing regime:

  • The four types of STL licence and who needs a licence: The Licensing of Short-term Lets (Scotland) Order 2022 establishes four types of STL licence (each is a distinct licence type for which the operator must apply): (a) HOME SHARING — the host lets out all or part of their own principal home (the home where they live as their main residence) while they are present in the property. Common examples: letting a spare bedroom while the host lives in the rest of the house; Airbnb 'room sharing'. The host must be present throughout the let. (b) HOME LETTING — the host lets their entire principal home while they are not present. Common examples: letting out the family home for a fortnight while on holiday; Airbnb 'home letting' where the host is away. The property must be the host's principal home. (c) SECONDARY LETTING — the host lets a property that is NOT their principal home. This is the category that applies to buy-to-let landlords who let residential investment properties on a short-term basis — including: dedicated Airbnb properties; holiday cottages; short-term worker accommodation (let for less than 31 days); coastal or rural holiday lets not used as a main home. SECONDARY LETTING IS THE HIGHEST-RISK CATEGORY for Scottish BTL landlords because: (i) it requires the STL licence from the local council; AND (ii) within Edinburgh's STL control zone, it ALSO requires planning permission for a change of use. Most existing BTL landlords who let on short-term platforms fall into this category. (d) HOME LETTING AND HOME SHARING — applies to hosts who do both (i.e., sometimes let their whole principal home while away AND sometimes let a room while present). A single licence covering both activities. WHO NEEDS A LICENCE: any natural person or entity that provides short-term accommodation for payment in Scotland needs an STL licence — this includes: individual landlords; property management companies; letting agents (if they act as operators, not just agents); operators of serviced apartments; holiday cottage companies. Exemptions (Schedule 1, LSO 2022): certain types of accommodation are exempt — care homes; hotels and guesthouses registered under the Civic Government Act; accommodation provided for a non-commercial purpose (family/friend with no charge); accommodation for workers on a construction or infrastructure project (where the contract specifies the accommodation); universities and educational establishments; seasonal agricultural worker accommodation.
  • Mandatory licence conditions, the Edinburgh STL control zone, planning permission, interaction with Scottish PRT and enforcement: Mandatory licence conditions (Schedule 3, LSO 2022 — applicable in every council area): (a) PUBLIC LIABILITY INSURANCE: minimum £2,000,000 public liability insurance maintained throughout the licence period. (b) FIRE SAFETY: property must comply with fire safety requirements — smoke alarms on every floor; heat alarm in the kitchen; carbon monoxide alarm where there is a carbon-fuelled appliance; interconnected alarms where 3+ storeys (the requirements mirror those for Scottish PRT landlords under the Tolerable Standard as amended by the Housing (Scotland) Act 2014 and SI 2019/229). (c) GAS SAFETY: current gas safety record (Landlord Gas Safety Record) from a Gas Safe registered engineer — renewed annually. (d) ELECTRICAL SAFETY: Electrical Installation Condition Report (EICR) from a qualified electrician — recommended 5-year cycle or at each change of occupant. (e) PLANNING COMPLIANCE: the operator must confirm that the use of the property as an STL complies with all relevant planning requirements. For secondary letting within the Edinburgh STL control zone — this means obtaining planning permission for change of use (see below). (f) ANTI-SOCIAL BEHAVIOUR MANAGEMENT: the operator must take reasonable steps to prevent anti-social behaviour by guests and must have a complaints procedure. Councils may add further conditions beyond the mandatory ones (LSO 2022 Art.15). Edinburgh STL control zone — planning permission for secondary lets: under the Town and Country Planning (Scotland) Act 1997 (as amended by Planning (Scotland) Act 2019) and the Town and Country Planning (Short-term Let Control Areas) (Scotland) Regulations 2021, Edinburgh has designated its entire local authority area as an STL control zone with effect from 5 September 2022. Within Edinburgh's control zone: home sharing and home letting within a principal home do NOT require planning permission; secondary letting (property not the host's principal home) DOES require planning permission — the use constitutes a material change of use from Class 9 (houses, whether terraced; semi-detached; detached) or flatted dwelling to a short-term let use. Planning permission for secondary letting in Edinburgh must be obtained from the City of Edinburgh Council Planning Department before operating. The Council has powers to refuse planning permission where the proposed short-term let use is incompatible with the local character or residential amenity. Interaction with Scottish PRT: the STL licensing regime and the Scottish PRT (Private Residential Tenancy, Private Housing (Tenancies) (Scotland) Act 2016) regime apply to DIFFERENT types of letting. A Scottish PRT applies where a property is let as the occupant's main home (typically 6+ months; no fixed end date; periodic from outset). STL licensing applies to short-term lets (typically under 31 days per booking; holiday lets; serviced apartments; Airbnb). A let that starts as an STL but becomes the tenant's main home for an extended period may convert to a Scottish PRT — landlords should be aware of this risk. Enforcement: operating without an STL licence is a criminal offence under s.7(7A) of the Civic Government (Scotland) Act 1982 (as inserted by the Planning (Scotland) Act 2019) — councils can prosecute and seek fines. Councils also have powers to issue compliance notices and to apply conditions to licences. Applications, conditions, and refusals are decided by the council's licensing committee and can be appealed to the Sheriff Court

Frequently asked questions

Do all short-term let operators in Scotland need a licence?+

Yes — all STL operators across Scotland must hold a valid licence from their local council under the Licensing of Short-term Lets (Scotland) Order 2022. Operating without a licence is a criminal offence under s.7(7A) of the Civic Government (Scotland) Act 1982. There are four licence types: home sharing; home letting; secondary letting; home letting and home sharing. Existing operators were required to apply by 1 October 2023; new operators must apply before commencing.

What is the Edinburgh STL control zone and does it require planning permission?+

The City of Edinburgh Council designated the entire Edinburgh local authority area as an STL control zone from 5 September 2022. Within Edinburgh's control zone, operators of secondary lets (properties not the host's principal home — including Airbnb BTL landlords) must obtain planning permission for a change of use from Class 9 (houses) to short-term let use, in addition to the mandatory STL licence. Home sharing and home letting within a principal home do not require planning permission within the control zone.

What is the difference between home letting and secondary letting?+

Home letting: the host lets their entire principal home (where they normally live) while they are absent — e.g., letting out the family home while on holiday. Secondary letting: the host lets a property that is NOT their principal home — this includes buy-to-let landlords letting investment properties on Airbnb or other short-term platforms. Secondary letting is the category most BTL landlords fall into and is the category that requires planning permission within Edinburgh's STL control zone.

Does STL licensing in Scotland apply to the same lets as Scottish PRT?+

No — they cover different types of letting. The Scottish PRT (Private Residential Tenancy, Private Housing (Tenancies) (Scotland) Act 2016) applies where the occupant uses the property as their main home for a longer-term arrangement (typically 6+ months). STL licensing applies to short-term lets (typically under 31 days per booking; holiday lets; Airbnb). A let that begins as a short-term let but becomes the occupant's main home may convert to a Scottish PRT — landlords should monitor the nature of the occupation to avoid inadvertently creating a PRT.