People who rent out Airbnbs and other short-term lets in Wales are now the latest group of landlords to face new licensing requirements. Under new legislation progressing through the Welsh Parliament, they will be required to obtain a licence and prove that their properties meet specific safety and quality standards before being allowed to host guests.
The new scheme will apply to self-contained, self-catering properties such as holiday cottages, apartments, and similar short-term accommodation. To qualify for a licence, owners must demonstrate compliance with the new ‘fitness for visitor accommodation’ standard. This includes providing valid gas and electrical safety certificates, proof of insurance, and evidence that smoke and carbon monoxide alarms are properly installed and functional.
According to the Welsh Labour government, many holidaymakers are unaware of the current lack of licensing for short-term lets. The administration cites data suggesting that almost two-thirds of people planning domestic trips in the UK do not realise that holiday let operators are not currently required to hold a licence.
The government also claims that public support for such a scheme is strong. Around 80% of people surveyed said they would be more likely to book a holiday let if they knew it met official safety and quality standards through a licensing programme.
Mark Drakeford, one of the politicians leading the initiative, said the reform is designed to put visitors first while strengthening confidence in Wales’s tourism industry. He explained that the new system will give travellers reassurance that the accommodation they book meets the safety and service standards they expect.
Drakeford emphasised that the move is not only about protecting visitors but also about creating a level playing field for responsible property owners. Many operators, he said, already comply with high standards voluntarily, and the new legislation will ensure that all hosts meet the same basic requirements.
“This isn’t about punishing good businesses,” he explained. “It’s about ensuring fairness across the board and protecting both visitors and hosts who do things properly.”
The proposed licensing fee will start at around £75, making it accessible for most small-scale hosts while ensuring compliance across the industry.
Under the Development of Tourism and Regulation of Visitor Accommodation (Wales) Bill, the Welsh Government will also have the power to extend licensing to other forms of visitor accommodation in the future. This means that hotels, bed and breakfasts, and other short-term stay providers could also come under similar regulations if required.
Officials believe that introducing a universal licensing scheme will help improve transparency and accountability within the short-let market. It will also give local authorities better oversight of the growing number of holiday properties, especially in tourist-heavy regions where short-term rentals have become a significant part of the local economy.
The government hopes that the measure will support sustainable tourism growth while reducing potential safety risks for guests. At the same time, it aims to help local communities by ensuring that accommodation providers operate responsibly and contribute fairly to the tourism sector.
Supporters of the policy argue that the licensing scheme could help address some of the housing pressures in popular Welsh tourist areas by discouraging unregulated or unsafe short-term lets. By contrast, critics say the new rules could place additional financial burdens on small landlords and discourage people from renting out their properties altogether.
Nonetheless, the Welsh Government maintains that the benefits of improving safety, quality, and consumer confidence far outweigh the potential drawbacks. Officials believe that a more regulated market will not only make tourism safer and more reliable but also enhance Wales’s reputation as a trusted destination.
As the bill moves closer to becoming law, short-let landlords across Wales are being urged to familiarise themselves with the new requirements and prepare to meet the upcoming standards before the licensing system is officially introduced.
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