Short-term let control area proposal rejected by Perth and Kinross councillors

Elected members this week chose not to approve beginning the formal statutory process to introduce a short-term let control area in Highland Perthshire and North Eastern Perthshire

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Elected members this week chose not to approve beginning the formal statutory process to introduce a short-term let control area in Highland Perthshire and North Eastern Perthshire Get the latest top news stories sent straight to your inbox with our daily newsletter We have more newsletters Get the latest top news stories sent straight to your inbox with our daily newsletter We have more newsletters Perth and Kinross councillors have narrowly voted against establishing a short-term let control area in Highland Perthshire and North Eastern Perthshire. Elected members on the Economy and Infrastructure Committee rejected the recommendation by eight votes to seven. Those who voted against said they did not believe it would create more affordable housing while those in support argued it was just "one tool in the toolkit".

On Wednesday, August 28 councillors were asked to approve beginning the formal statutory process to introduce a short-term let control area in Highland Perthshire and the northern half of Eastern Perthshire. It would have been Scotland's third short-term let control area, following on from the entire Edinburgh City Council area and Highland Council's Badenoch and Strathspey ward. Creating a control area means planning permission is needed for a domestic property to change in use to become a short-term let.



Highland Perthshire and North Eastern Perthshire have a higher concentration of short-term lets than the rest of Perth and Kinross - nine per cent of housing in Highland Perthshire and 13 per cent in North Eastern Perthshire. While 76 per cent of residents and 57 per cent of organisations were supportive of the principle, 69 per cent of businesses were opposed. Presenting the recommendation to the committee PKC's strategic lead for Economy, Development and Planning David Littlejohn said creating a control area would "ensure that in the future when housing is provided, that there's proper consideration given before the owners of those properties opt to buy them for the purposes of short-term lets".

Independent councillor Colin Stewart asked what evidence there was it would help the housing shortage. Mr Littlejohn responded: "This is one of a number of measures to manage local housing supply. On its own it's not going to deliver a ramped up number of houses coming back on the market.

" He added: "It might influence the choices of some second home owners as to whether or not they can afford to have a second home if they feel they have to apply for planning permission and have it refused. "This is about the future and how we manage future housing stock to the best of our ability but it's never going to be the only tool in the toolkit." Other measures taken by Perth and Kinross Council have been to implement a 100 per cent council tax increase on second homes and the Empty Homes Initiative which aims to bring empty properties back into use.

Moving the proposal for approval convener Eric Drysdale said it would provide "the introduction of stronger, clearer, planning controls to manage the number of new short-term lets across Highland, northern Strathtay and the northern part of Blairgowrie and Glens wards". Cllr Drysdale said the shortage of affordable housing was negatively affecting the tourism industry. The SNP councillor said: "In some parts of our area the proportion of the overall housing stock given over to short-term lets is of concern.

This impacts not only on the recruitment and retention of key workers but on the tourism sector itself where lack of accommodation is constraining the operation of some businesses." Seconding the motion, vice-convener Jack Welch said it was "about positive change" and added: "These controls will be a small tool in the toolbox to provide balance and effective control of properties in the short-term let sector." The motion was supported by SNP councillors and Labour's Alasdair Bailey.

Bailie Bailey said: "Of course today’s proposal doesn’t create additional housing units – it’s not designed to and I’ve not the foggiest why some in this chamber expect it to! "It does however stop more housing units falling into the STL trap. "Supporting this proposal says you believe nurses, police, and firefighters in rural areas deserve quality housing." Conservative, Liberal Democrat and Independent councillors supported Cllr Angus Forbes' amendment not to press ahead with the proposal.

The Conservative councillor said: "I think we all agree that there's a housing shortage in this particular part of Scotland. Where we disagree is, I feel, there's absolutely no evidence this proposal will make any difference whatsoever to that issue." Highland Perthshire councillor John Duff - whose ward would have been in the control area - seconded the amendment.

He believed limiting short-term lets would not resolve the issue of residents on low incomes being unable to afford high house prices. The Conservative councillor said: "In the Highland ward area, average wages are nine per cent below the Scottish average. The data states that 59 per cent are unable to afford market entry housing and 85 per cent are unable to afford average house prices.

Highland has the second highest inward migration levels. Yet it has the lowest rate of house completions at three per cent and the most limited effective land supply at six per cent." "We also hear that social housing is affordable to 85 per cent of households and yet only 13 per cent of housing stock is social housing.

"Quite clearly, what is needed is more social housing. Residential properties coming out of tourist accommodation into residential accommodation will not fill that gap." SNP council leader Grant Laing - whose Strathtay ward includes Dunkeld which would have formed part of the controlled area - argued short-term lets inflated house prices.

He said: "Short-term lets drive up the prices." Fellow Strathtay councillor Claire McLaren voted against the proposal. After the meeting, Bailie McLaren said: "To create a control zone will not solve the affordable housing needs within the proposed area.

What is required is focused action to identify solutions for this to be addressed, not a policy that tinkers around the edges." Fiona Campbell chief executive of the Association of Scotland’s Self-Caterers said: "We are pleased that common sense has prevailed. The plans did not strike the appropriate regulatory balance and would have led to the closure of many small businesses – hitting the local economy in the process – without achieving the apparent policy objectives.

"Short-term lets cannot continue to be used as a convenient scapegoat for much wider housing challenges. Closing down small businesses in Perth and Kinross would not lead to a glut of affordable homes as today’s vote recognised. "The ASSC wants to ensure a fair and proportionate approach for business, tourism and communities and we will work constructively with Perth and Kinross Council to achieve that end.

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