Short-Term Rental Regulations in London

London was one of the first major cities to introduce a clear, numerical cap on short-term rental activity in residential properties. The city's approach balances the desire to allow homeowners to benefit from occasional home-sharing with the need to protect the long-term housing supply. The 90-night rule has become a well-known benchmark in the global conversation about STR regulation.

Current Regulatory Framework

The key regulation governing short-term rentals in London is the Deregulation Act 2015, which amended the Greater London Council (General Powers) Act 1973. Before the 2015 change, renting out a residential property in London on a short-term basis technically required planning permission, regardless of the duration. The Deregulation Act created an exemption allowing homeowners to rent out their entire home for up to 90 nights per calendar year without needing to apply for a change of use.

Beyond the 90-night threshold, the property counts as having undergone a material change of use from residential (C3 use class) to temporary sleeping accommodation (sui generis). Continuing to rent beyond 90 nights without planning permission is a breach of planning law and can result in enforcement action by the local borough council.

The 90-night rule applies specifically to entire-property rentals. Renting out a spare room while the host continues to live in the property is generally treated differently and may not be subject to the same cap, though the specifics depend on the tenure and any lease restrictions.

Key Requirements

• Entire-home short-term rentals are limited to 90 nights per calendar year without planning permission
• Exceeding the 90-night limit requires planning permission for change of use from the local borough
• Booking platforms operating in London are expected to implement automatic booking limits at 90 nights, though enforcement of this requirement varies by platform
• Properties must meet basic safety requirements including gas safety, fire safety, and electrical safety standards
• Leaseholders should check their lease terms, as many leases contain clauses prohibiting subletting or short-term letting
• Some boroughs have introduced Article 4 Directions that remove permitted development rights for STR in specific areas

Enforcement

Enforcement of the 90-night rule falls to London's individual borough councils, which means it varies across the city. Some boroughs have been proactive in monitoring listings, responding to complaints, and taking planning enforcement action against properties that exceed the limit. Others have been less active, constrained by limited resources and competing priorities.

The government has encouraged booking platforms to implement automatic limits that prevent hosts from accepting more than 90 nights of bookings per year. Major platforms have introduced such limits, though hosts can potentially circumvent them by listing on multiple platforms or accepting direct bookings.

Penalties for exceeding the 90-night limit without planning permission, which can include fines of up to GBP 20,000, can also include enforcement notices requiring the host to cease the use, and potentially prosecution for non-compliance. In practice, many enforcement cases are triggered by complaints from neighbors or building management rather than proactive monitoring.

What This Means for Long-Term Renters

The 90-night cap provides a degree of protection for London's long-term rental market by limiting the extent to which residential properties can be converted to full-time tourist accommodation. Unlike cities without such limits, London's framework theoretically ensures that any given property can be used as a short-term rental for only about a quarter of the year.

In practice, the experience for long-term renters depends on where they live. In tourist-heavy areas like Westminster, Camden, Tower Hamlets, and parts of Kensington, the concentration of properties being used for their maximum 90 nights, plus any unlicensed excess, can still create noticeable impacts. In more residential outer boroughs, the effect is typically minimal.

Leaseholders and tenants should also be aware that many London leases contain their own restrictions on subletting and short-term letting. These contractual restrictions apply independently of the planning rules and can provide additional protection in managed buildings and estates.

How BnBDetector Helps

London's 90-night cap sounds clear, but enforcement is left to 33 separate borough councils with uneven resources. BnBDetector shows you whether properties near you are actually staying within the limit or running as full-time tourist lets in disguise.

Disclaimer

This information is provided for general informational purposes only and should not be considered legal advice. Regulations change frequently. Always verify current rules with local authorities before making housing decisions.