Sustainable communities must be the goal for us all
As tenant rights strengthen under the Renters Rights Act, some landlords are weighing up holiday letting in Devon and Cornwall. This article explains why a quick switch is rarely simpler on compliance, why sustainable communities rely on balanced tourism and long-term renting, and how HolidayHost sends a major share of each booking commission to Local Hosts in the postcode.
Landlords with long-term lets face a conundrum. The rights of their tenants are being strengthened through the Renters Rights Act. Security of tenure, the eradication of fixed contracts and fairer rent rules are some of the bigger changes. It’s driving landlords to check their plans in our coastal areas with some looking to holiday home letting instead.
But running a holiday let isn’t the easy fix people often think it is because of the rising regulatory burden. What’s more, communities in the coastal areas we serve only thrive when there is a balance of holiday lets, which underpin the tourism that drives local economies, and long-term rental opportunities that allow our Hosts, their families, friends and colleagues to live fulfilling lives, maybe even buy a property of their own one day.
Director of HolidayHost, James Spencer, said: “The communities HolidayHost serves depend on a careful balance between holiday lets and long-term rentals: one funds the local economy and the other enables the local people who give these places their heart to thrive. A widespread rush towards holiday lets won’t benefit anyone, especially if it isn’t done in a sustainable way”
Are you reconsidering long-term letting?
Landlords across Devon and Cornwall face a difficult decision as rent reforms kick in. A significant overhaul of the rules to the benefit of tenants has now made its way into law.
The Renters Rights Act is likely to prompt long-term landlords to reassess their plans even if they ultimately decide to keep going. Landlords could face higher costs under the new rules. With rent contracts now rolling rather than fixed, a property with high turnover may need repeated listing, a cost that falls on owners. Tenants can also contest rent rises, and a new ombudsman will arbitrate disputes to avoid costly court cases. These changes will lead some landlords to reforecast and ask whether long-term letting still makes financial sense.
Avoiding knee-jerk reactions
New rules do not necessarily mean the Landlord-tenant relationship has to change, and every situation will be different. For most, there will be some additional administration like serving a Section 13 notice to propose rent increases but otherwise the new chapter in property letting needn’t be too challenging.
The imposition from April 2027 of separate tax rates for property income, with 22% basic, 42% higher and 47% additional rates, is something Landlords can manage with accountancy advice. As with any significant financial decision, impartial advice is recommended because when things change, the potential problems can easily obscure the possible benefits. Jumping hastily into holiday letting needs careful thought too, since the short-term sector has its own rules to meet, including the mandatory national registration scheme.
There’s a lot to consider, we are available for any existing or prospective landlord who wants information or guidance, and we will always encourage an owner to think twice about changing their property’s purpose.
The holiday letting model that most benefits the community
If holiday letting is the right route, HolidayHost is built to be the community-friendly way to do it.
Uniquely, half of every booking commission goes directly to the local Host, not to an employee in a regional office, but to a licensee running their own property management and housekeeping business in the area they live in. The more guests arriving to the area by booking your property, the more you the owner earn, and the more the local Host earns; the incentives are properly aligned, and the money stays in the community.
That’s the founding principle, but it’s not the whole picture.
A capped portfolio in every area. We deliberately limit how many holiday homes we manage in any given town, because quality of service and the long-term health of the place matter more than scale. It’s quality over quantity, by design, and it directly answers the concern that holiday letting tips communities out of balance.
Hosts who back local businesses. Our Hosts partner with local suppliers, trades and independents, and they actively point guests towards local shops, cafés, restaurants and attractions. Holiday lets shouldn’t just bring people in; they should keep spend circulating in the community while they’re here. Smarter year-round pricing helps too, giving local businesses and trades a steadier flow of work outside the summer peak.
The contrast with conventional agencies is stark: they typically centralise their income, pay regional managers rather than community ones, and don’t harness platforms like Airbnb and Vrbo as effectively as we do. Our model was built from a different premise: that holiday letting only works long-term if it works for owners, guests, and the places they’re set in.
If you are a long term landlord looking for information on the challenges of holiday letting, get in touch and we can inform your decision.
Rent reform and holiday lets answered questions
No. Holiday homes must meet their own licensing, safety, taxation and booking rules under the umbrella of broader regulatory change including the forthcoming national registration scheme for short-term lets. That is why impartial advice matters before changing how you use your property.
The Renters Rights Act strengthens tenant protections, introduces rolling tenancy structures and expands dispute mechanisms, which raises administration and shifts how owners model rent increases and tenancy costs across Devon and Cornwall.
Roughly half of each booking commission is paid directly to each Local Host, who trades as their own licensee in the area rather than staffing a regional office elsewhere. Owners still earn booking income proportionally whilst spend remains oriented around the postcode.
HolidayHost restricts how many properties it onboard in any one locality so turnaround quality, homeowner support and neighbourhood impact stay sustainable instead of maximizing volume irrespective of strain on services or residents.
HolidayHost outlines its community ethos and examples of sponsorship and locality investment on the Our communities page (holidayhost.co.uk/about-us/our-communities/). For regulation and tax decisions, rely on authoritative sources and your accountant alongside the advisory cues we highlight during co-hosting conversations.
