Prime Minister Sir Keir Starmer has confirmed a mandatory national register for short-term holiday lets is on the way, sparking fresh concern among landlords eyeing the booming staycation market. Speaking to BBC Spotlight this weekend, he said the government is “going stage-by-stage” on reforms—starting with a register before any broader restrictions.

National register now in motion
The plan, first proposed under the previous Conservative government, aims to help councils track the impact of Airbnb-style lets on housing supply. According to the Ministry of Housing, Communities and Local Government, the scheme will allow local authorities to monitor and, where needed, limit the growth of holiday rentals in pressure areas such as Cornwall and Devon.

Starmer told the BBC: “This is basically stage one. We’ll carefully review what stage two should look like. I’m determined we’ll get to grips with the underlying issue, working with others to make sure we get it right.”

Investors weigh impact on yields
Many landlords have turned to short-term lets to boost income as mortgage rates and maintenance costs climb. According to UK Finance, holiday lets can generate up to 30% higher gross yields than comparable long-term rentals in coastal hotspots.

Plymouth landlord Gareth Lewis, who runs three seafront apartments, said: “A simple register doesn’t worry me, but if they follow with a licensing system and extra taxes, that’s when profitability takes a hit.”

Industry trade body NRLA (National Residential Landlords Association) has urged ministers to avoid “heavy-handed” measures, arguing that responsible landlords already follow safety and planning rules.

Stage two could bring stricter limits
During a 2023 visit to Plymouth, before becoming PM, Starmer backed a licensing system for holiday lets “as quickly as possible.” He stopped short of a timeline this weekend but hinted that stage two may involve more than registration.

The government has already allowed councils to levy a council tax premium on second homes, and ministers have removed certain tax incentives for furnished holiday lets, moves designed to deter speculative purchases that reduce year-round housing stock.

Editor’s view
A national register alone may seem mild, but it sets the stage for tighter rules on holiday lets and second homes. For landlords banking on short-term yields, now is the time to stress-test business plans and consider diversified strategies. Will stage two bring licensing, caps, or even zoning bans?