Category: Owner Information

It’s The Law: Legislation for Holiday Home Owners

Womens head with question marks coming off it and a bubble saying 'what legislation applies to me as a cottage owner?'

When you are setting up a holiday home it is likely that you will be thinking paint colours, welcome hampers, booking systems and setting your rates. You might be wondering whether to add a log burner for those winter bookings or a trampoline in the garden for the kids. Or maybe you are weighing up the pros and cons of accepting dogs, installing a hot tub or swapping the tired looking bath for a large walk-in shower. These are all exciting and important things to be thinking about!

However, arguably more important, but less exciting, and certainly often overlooked in the initial stages of setting up your holiday home, are the various rules and regulations that we need to adhere to as holiday home owners. Whilst some laws might be obvious, others are less so. Either way, we can’t escape the large amount of legislation that we need to abide by.

This article aims to provide some guidance and links to useful resources for owners who are researching legislation that relates to UK holiday homes. However, it is not an exhaustive list, and rules and regulations are frequently updated. In addition, we are not lawyers or accountants so please treat this article as a starting point to conduct your own research rather than professional advice. If you are in any doubt you should consult an expert. Finally, if you are just starting out don’t be overwhelmed by the seemingly large amount of regulations. Most of them are common sense and are there to protect you, your guests and your property. 

Different legislation for holidays lets v long term rental properties

Whilst the legislation surrounding Furnished Holiday Lets (FHL) and long-term rental properties are similar, it is important to note that there are also some key differences. Firstly, holiday letting agreements are excluded from the Housing Act 1988. This means that guests staying in a holiday house have no right to remain and they must leave the house at the end of their holiday. The Housing Act 1988 defines holiday letting as ‘a tenancy the purpose of which is to confer on the tenant the right to occupy the dwelling house for a holiday’.   

Secondly, a Furnished Holiday Let is bound by different tax laws compared to a buy to let property. This is because the government classifies your holiday let as ‘business’ rather than an ‘investment’. Any rental income from a holiday let is subject to income tax and will have to be declared on your annual tax return. However, unlike a buy to let property, if you own a Furnished Holiday Let you should be able to offset your full mortgage interest repayments against tax. You should also be able to deduct the cost of furnishing your property from pre-tax profits.

If your total annual income from your holiday let is greater than the VAT registration threshold (which is currently £85,000) you may also need to register for VAT

In addition, instead of paying council tax you will pay business rates on a FHL. The rateable value of your property, worked out by the Valuation Office, is based on its type, location, size, quality and how much income you are likely to make from it. For holiday home owners with just one holiday let you are likely to qualify for small business rate relief where you may not pay any business rates at all. It is worth noting that as you are a ‘business’ it is likely that you will need to pay for your trade waste to be emptied each week rather than it being collected by the council.

To qualify as a ‘Furnished Holiday Let’ you must let your property commercially to the public for at least 105 days of the tax year and it needs to be available to let for at least 210 days of the year. Any single letting must not be for longer than 31 continuous days. If a guest stays for longer than 31 days, you will have to apply for an assured tenancy or assured shorthold tenancy. 

A key in a door with a cottage shaped keyring.

The tax rules for holiday lets are quite complex and we recommend you seek professional advice from an accountant who can advise you on your tax liabilities and exactly what expenses you can claim against tax.

Gas

The Gas Safety (Installation and Use) Regulations 1998 outlines legal duties of self-catering accommodation providers in relation to gas appliances. As a holiday home owner you are legally obliged to ensure all appliances, along with their fittings, flues and chimneys are safely maintained. You are also required to carry out an annual gas safety check by a registered engineer on each gas appliance. You need to keep a record of each inspection for two years.

Whilst it may not be a legal requirement, it is a good idea to let your guests know where and how to turn the gas off in the event of an emergency.

Electricity

The Electrical Equipment (Safety) Regulations 1994 states that you have a duty of care to ensure all electrical equipment supplied for business use is ‘safe’. This applies to guests, employees and contractors in your property and to both second-hand and new equipment. Any equipment supplied after January 1995 must be marked with the appropriate CE symbol.

Unlike for gas appliances, there does not appear to be any specific requirement for an annual inspection on electrical equipment. However, in order to demonstrate that you are complying with the electrical safety requirements it is strongly recommended that a NICEIC registered electrician undertakes a full electrical inspection and you obtain an Electrical Safety Certificate. As electrical equipment will deteriorate over time it is recommended that you undertake an inspection at least every five years. Your electrician should be able to recommend appropriate intervals for safety checks.

As your duty of care applies to both installed and portable electrical appliances you should also undertake regular Portable Appliance Testing (PAT). There appears to be no laws stating how often PAT testing should be carried out but it is best practice to have your appliances checked once a year. Ensure there is a clear record of when the testing was carried out and add PAT testing stickers to the relevant items. 

It is also important to carry out regular visual electrical inspections yourself. Look out for damaged cables, loose sockets, frayed wiring, burn marks, hot sockets or plugs, flickering lights or tripping. Keep a written record of each visual inspection. 

Since July 2008 the BS 7671:2008 made it a legal requirement for circuits in new or rewired homes to include a residual current device (RCD). An RCD is a safety device that automatically switches the electricity off if there is a fault. If your holiday home was re-wired or built before this time there is no legal requirement to add one. However, if you strive to achieve ‘best practice’ rather than ‘getting by with the minimum required’ then it would be a good idea to have RCD protection fitted onto the circuits in your property. It is also best practice to include operating instructions for all electrical equipment in your holiday home (the welcome folder is a good place).

Carbon Monoxide

For holiday homes in England, The Smoke and Carbon Monoxide Alarm (England) Regulations 2015 states that you are legally required to fit a carbon monoxide detector in rooms containing a solid fuel burning appliance such as a log burner or an open fire. As gas appliances can also emit carbon dioxide it is strongly advisable to also install carbon monoxide detectors in any rooms that have gas or oil appliances such as an oven or boiler.  

In February 2019 Scotland passed new laws that require homes to be fitted with carbon monoxide detectors in all rooms that have a carbon-fuelled appliance such as fires, boilers, ovens and heaters. Whilst these laws do not come into effect until February 2021 it is a good idea to ensure you are compliant as soon as possible.

In Northern Ireland the Building Regulations (Northern Ireland) 2012 requires carbon monoxide alarms to be mandatory when extending, renovating or building new homes with a fuel-burning appliance after 31 October 2012. In Wales, the Building Regulations 2010 requires properties to have a carbon monoxide alarm fitted when installing a new or replacing an old solid fuel heater.       

Wherever your holiday home is, carbon monoxide poisoning can be fatal. To ensure you undertake your duty of care to take all necessary measures to reduce the risk of carbon monoxide poisoning you should make sure carbon monoxide detectors are fitted in all rooms where a gas, oil or solid fuel appliance is present.

Whilst not a legal requirement it is a good idea to test all alarms weekly or on each changeover. We recommend you having a log which is signed by yourself or your housekeeper every time the detectors are checked on each changeover.

Oil

Some holiday homes in a secluded location might have an oil supply if they are not on mains gas. By law (BS 5410) holiday home owners are required to have any oil-fired equipment and appliances serviced in accordance with the manufacturer’s instructions, which is usually once a year. There appears to be no legal requirement to obtain an Oil Safety Certificate but as faults in oil appliances can lead to carbon monoxide poisoning it is recommended that you have your oil-fired appliances and equipment inspected by someone who can complete an OFTEC CD/12 Landlord Oil Installation Check form. It is also a good idea to inspect the storage tanks and supply pipes regularly to check for any leaks.  

Fire

Batteries of a smoke detector being changed

Whilst there is no current requirement for holiday homes to have a Fire Certificate, holiday home owners are obliged under the Regulatory Reform (Fire Safety) Order 2005 (England and Wales), the Fire (Scotland) Act and Fire Safety (Scotland) Regulations 2006, and the Fire and Rescue Services (Northern Ireland) Order 2006 and the Fire Safety Regulations (Northern Ireland) 2010 to undertake a fire risk assessment. You are also required to improve any safety measures that are identified in the assessment and to keep the risks under review.

There are some useful guides: Do you have Paying Guests?; Fire safety risk assessment: sleeping accommodation (England and Wales); and Practical Fire Safety Guidance for small bed and Breakfast and Self-Catering premises (Scotland) to help holiday home owners comply with fire safety law and carry out fire risk assessments. As the owner of your property, you are likely to be best placed to understand what the fire risks might be, and how to control them. If you are in any doubt, or have any questions, we recommend you speak to your local fire brigade who should also be able to help you. If you still don’t feel confident to carry out your own fire risk assessment you can get a qualified fire consultant to do this for you. Whilst the law does not specifically state how often you should re-access your fire risk assessment, it is recommended that you review it once a year.

Whilst there is no legislation specifically surrounding the safety of log burners or open fires (apart from the said mentioned fitting of carbon monoxide detectors), it is worth noting that in order to comply with the safety measures identified in your fire risk assessment it will be necessary to have your chimney swept annually (this may also be a stipulation of your holiday home insurance), have an adequate hearth and ensure you have a suitable fireguard. Your risk assessment will need to take into consideration that some guests may not have real fires at home and you will therefore need to communicate with your guests how to use your fire safely.

In England it is a legal requirement to install a smoke alarm on every floor that is used as a living space. The law does not state what sort of smoke alarms you should have but the most reliable are those that are mains-wired and have a separate battery back up in case there is a power cut.

In Scotland there is new legislation regarding smoke alarms which comes into effect in February 2021. The new law states that all homes must be fitted with at least one smoke alarm in the room which is most frequently used (which tends to be the sitting room), a smoke alarm on every floor in spaces such as landings and hallways and a heat alarm in the kitchen. The alarms need to be ceiling mounted, either mains-connected with a backup battery or fitted with a long-life battery and interlinked with each other. All alarms must also be changed every 10 years, or sooner.   

Furniture

All holiday home owners are responsible for ensuring that their upholstered furniture meets the requirements set out in The Furniture and Furnishings (Fire) (Safety) Regulations 1988. The regulations state that all upholstered cushions, pillows, furniture, beds, mattresses, headboards and sofa beds meet the set fire resistance standard. This includes ensuring the upholstered furniture has a fire resistant filling material, the cover fabric passes a match resistance test and the cover fabric and filling material pass a cigarette resistance test.

All furniture that meets these requirements will have a permanent label stating ‘Carelessness Causes Fire’ as well as information about the supplier, the item and its manufacture, or a label stating that it complies with the British Standards BS 7177. It is worth noting that the regulations apply to both new and second-hand furniture but not to antique furniture made before 1950.

Armchair with fire resistant label on it showing a cigarette with match underneath

General safety

In addition to previous legislation mentioned regarding the safety of products, the General Product Safety Regulations 2005 makes it a legal requirement that holiday home owners only supply ‘safe’ products to their guests. A safe product is defined as ‘any product which under normal or reasonably foreseeable conditions of use presents no risk or only the minimum risk compatible with the product’s use and which is consistent with a high level of protection for consumers’. Where a product is already subject to laws then the existing regulations will still apply. However, if the General Product Safety Regulations 2005 go further than existing laws then the 2005 regulations will apply.

As no formal testing is required it is up to you to apply common sense and check your products regularly. For example, if something is damaged make sure you repair it, check for trip hazards, make sure furniture and wall fittings are secure, any cables are tucked away and there are no hazardous objects such as broken glass in the garden. It is a good idea to keep a record of these checks to show that you have carried out a risk assessment should an accident occur. The regulations also require you to provide guests with any relevant information, warnings and instructions for operating products.    

No matter how many notices you put up, or whatever your booking conditions may state, you are still liable for any injuries or fatalities to your guests if they occur due to your negligence. However, you can take out insurance to cover your liability.

Insurance

The Employers’ Liability (Compulsory Insurance) Regulations 1998 makes it a legal requirement to have employers’ liability insurance if you employ anyone at your holiday home. You will be classed as an employer if you have either a written or spoken contract with anyone who helps you maintain your holiday home. This could include cleaners, gardeners, housekeepers or any seasonal staff. The minimum legal requirement for employers’ liability insurance is £5 million, but a lot of insurers provide cover of £10 million.

Whilst there may not be a legal requirement to have public liability insurance, if any guests had an accident which could in some way be attributed to the holiday home owner, you may be considered liable and left facing a very large bill. However diligent you might be in the upkeep of your property it is impossible to be 100% sure you can prevent an accident. It is therefore strongly recommended that you take out public liability insurance. You will need to decide what level of cover you need. Most holiday home owners will take out a cover of between £5 million and £10 million.

There is no legal requirement to have building insurance for your holiday let. However, if you have a mortgage on your holiday home it is likely that your lender will require you to have buildings insurance. It is also important that your mortgage lender is aware that you will be renting out your property as a holiday let.

Accessibility

The Disability Discrimination Act 2005 requires holiday home owners to have a written Accessibility Statement for their property. An Accessibility Statement explains who your property is suitable for. Find out more about how to write your Accessibility Statement here.

The Equality Act 2010 (for England, Scotland and Wales) and Disability Discrimination Act 1995 (for Northern Ireland) makes it illegal to discriminate against guests on the basis of gender, race or disability. In order to ensure people with disabilities are not treated any less favourably as a result of their disability, the Equality Act 2010 states that ‘reasonable adjustments’ need to be put in place. What might constitute a ‘reasonable adjustment’ for one holiday home owner might be different for another. However, there are a few ‘reasonable adjustments’ that all holiday home owners should adhere to. For example, apart from the most exceptional circumstances, it would be against the law to refuse access to a disabled person who needs an assistance dog regardless of whether you usually accept dogs or not in your property. You can read more about the laws regarding accepting assistance dogs here.   

Swimming pools

Currently there does not seem to be any specific legislation for holiday home owners regarding swimming pool safety. However, you will need to make sure that you comply with general health and safety regulations that are outlined in legislation such as the Health and Safety at Work, etc Act 1974 and the Management of Health and Safety at Work Regulations 1999. You will need to undertake a thorough risk assessment and ensure any risks are eliminate or reduced as far as reasonably practicable. You can find detailed guidance about the relevant legislation and best practice as well as guidance on managing the risks for yourself and your guests in the Health and Safety Executive’s Managing Health and Safety in Swimming Pools.

Side view of a hot tub bubbling

Hot tubs

The question of whether to install a hot tub or not in your holiday home is one that is asked by many owners. For many, it is a desirable addition to their property and there has certainly been an increase in the number of holiday homes that can offer their guests a warm bubbly experience! In response to this increase, the Health and Safety Executive has published guidance for anyone responsible for managing hot tubs as part of a business. Whilst following the Health and Safety Guidance 282 (HSE282) is not compulsory, every holiday house owner has a ‘general duty of care’ to assess the risks associated with a hot tub and to ensure these are minimised as much as reasonably practical.

One of the main risks associated with hot tubs is Legionnaires’ disease. As a holiday house owner your ‘general duty of care’ means you are obliged to take the right precautions to reduce the risks of guests’ exposure to bacteria such as legionella. In order to ensure that water quality is strictly maintained it is essential that hot tubs are disinfected and pH and sanitiser levels are tested and recorded on a regular basis. The Health and Safety Executive has produced useful guidelines on Legionnaires’ disease and you can find out more about what your responsibilities are as a holiday home owner here.  

In order to protect yourself against the potential cost of any accidents that might occur it is a good idea to ensure your insurance includes the guests’ use of a hot tub as well a swimming pool should you have one.

Children’s outdoor play areas

Again, there appears to be no specific legislation surrounding the responsibility of holiday home owners regarding the safety of kids’ playground equipment. However, as the General Product Safety Regulations 2005 legally obliges you to only provide ‘safe’ products and you have a ‘general duty of care’ to ensure guests are not put in any danger you should undertake a thorough risk assessment on all playground equipment. For example, make sure all equipment is well maintained and kept in good working order, ensure the play area is in a suitable and safe location for children, is kept clean and ideally is fenced off. If you supply a trampoline at your holiday home make sure you set clear safety guidelines for its use and check that your public liability insurance covers you for such activities.   

TV, DVD and music licences

TV and DVD licences

Whilst on holiday, guests are not covered by their TV licence at home. Therefore, if you provide a device on which guests can view TV programmes you will need a Hotel and Mobile Televisions Licence. A licence is required if TV programmes are viewed through any device, including computers, mobile phones, games consoles, as well as TVs. The cost of a Hotel and Mobile Televisions Licence is the same price as a regular TV licence.

If you provide DVDs for your guests, in order to ensure you are not infringing UK copyright law as set out in Copyright, Designs and Patents Act 1988 you will need a DVD licence. Different licences are available depending on the type and size of accommodation you have and how long you want the licence for. Most holiday home owners require the DVD Concierge Licence (DVDCL) which is supplied by Filmbankmedia. This annual licence enables holiday home owners to lawfully provide guests with films on DVDs or Blu-Ray. It is worth noting that whilst a DVDCL will enable your guests to watch most films, there will be some that are not included. If you do not provide DVDs at your holiday home, but guests bring their own DVDs, you do not need a licence.

Music licences

Under the Copyright, Designs and Patents Act 1988 holiday home owners are required to seek permission from the copyright holder if they provide guests with a device on which they can play music. This might include playing music through a radio, music centre, TV or alarm clock. You can obtain a music licence that fulfils your legal copyright obligations and allows your guests to play music in your holiday house from the PRS (Performing Rights Society) for Music. At the time of writing certain holiday homes were exempt from needing a licence so we recommend you speak to the PRS team to check whether you need one or not.  

Little girl sitting in front of television

In additional, if you play music or have a TV in public areas such as a games or breakfast room you might also need a Public Performance Licence (PPL). You can find more information about music, TV and DVD licences here.     

Unfair trading practices

All businesses have a duty to undertake ‘fair’ trading practices under the Consumer Protection from Unfair Trading Regulations 2008 (CPRs). If it can be proved that guests booked a holiday that they otherwise wouldn’t have if they had known the full facts then as a holiday home owner you would have engaged in ‘unfair practices’. It is therefore essential that you accurately advertise where your holiday let is, what amenities are close by and what services and facilities you provide. For example, if your property is a half hour drive to the beach then don’t advertise it as being a few minutes from the sea!

Whilst much of what constitutes ‘unfair practice’ isn’t always black and white, the legislation does specifically state that falsely claiming your property has been approved by a public body or has gained a quality mark, or falsely stating that an offer will only be available for a limited time is a breach of the regulation. It is therefore important to make sure tourist board ratings are correctly advertised and up to date.

The Business Protection from Misleading Marketing Regulations 2008 also states that you must not unfairly compare products or take advantage of the reputation of competitor trademarks and trade names whilst marketing your property. For example, you cannot compare the cost of staying at a five star luxury hotel down the road to staying in your two star holiday cottage, or describe your cottage as ‘the Ritz of St Ives’.  

The Consumer Protection from Unfair Trading Regulations 2008 states that you must not publish misleading reviews. For example, you cannot write, ask friends to write, or offer incentives to guests to write positive reviews. In addition, if you publish reviews, you must publish all reviews, regardless of whether they are positive or negative. You must either invite all, or none, of your guests to write a review rather than just selecting certain guests. The Competition and Markets Authority (CMA) provide a useful summary of the dos and don’ts of reviews. The CMA have also published guidance on endorsements. Whilst it is not illegal to pay a publication or blogger to promote your business, potential guests need to know that the endorsement has been paid for.

Social media is a very useful marketing tool for any holiday home owner. However, it is important to remember that whilst you might use a more informal tone on social networking sites such as Facebook or Twitter, everything that you post must comply with the same regulations as any other adverting channels.

Data protection

All holiday home owners collect personal data. The Data Protection Act 2018 (DPA) and General Data Protection Regulations (GDPR) regulates the way that you hold and use this information to ensure you handle the data responsibility. Again, most of the regulations are common sense but there are a few important points to note.   

Firstly, if you send marketing emails to past guests you need to make sure that everyone on your list has specifically opted in to receive such emails (and you give them the option to opt out) and that they are ‘current customers’. There is no specific definition of what a ‘current customer’ is, but it is probably safe to say that if you have not heard from someone for over a year it would be a good idea to remove them from your database. Similarly, if you run a competition which involves collecting email address from potential guests you need to ensure that guests have opted in to receive email communication from you. 

You are also required to have a privacy policy that is easily accessible to anyone who is thinking of giving you their personal details. Most people will display a privacy policy on their website. The policy needs to clearly state what, how and why data is being collected, if any of the data will be shared with third parties, how long you will store their information for and what their rights are.

You can find more information about complying with data protection laws on the Information Commission Office’s website.

Conclusion

If you have got this far and you are still reading this article you are doing well! Understanding the relevant rules and regulations surrounding holiday letting is not exciting or glamorous, but it is important. Legislation surrounding holiday lets is there to protect you, your property, your guests and your employees against injury or harm. Whilst you might be focused on maximising your profit and occupancy levels, it is essential that you don’t overlook your duty of care to your guests and you comply with the law. 

However, the aim of this article is not to send you into a panic. A lot of the rules and regulations are open to interpretation and in most cases you just need to use your common sense. If you are unsure about something there is no harm in being over cautious. On the whole, if you strive to achieve ‘best practice’ you will find that you comply with most laws. If in doubt ask other holiday home owners to see what they do or better still seek advice from a lawyer. This ensures guests enjoy their holiday in the safest possible environment and you can relax knowing you have undertaken your duty of care to ensure your holiday home is as safe as reasonably practical. 

44 thoughts on “It’s The Law: Legislation for Holiday Home Owners

  1. Sandra Hart

    We are 5 couples with a rental accommodation booked for September. We have been advised that despite Government guidelines saying only 2 households can stay together, that our holiday can proceed as these are only Guidelines not legislation. Can you advise?

    Reply
  2. John Sharp

    I am looking to buy a new home that was a holiday let and still being let out. when would they have to stop letting it out from exchange or ? can’t find the answer on line
    So I thought I would ask someone please help if you can

    Many Thanks. John

    Reply
    1. Sarah Jarvis

      Hi John, possibly someone else will be able to answer this but unfortunately we are not sure. You may wish to speak to your solicitor or the people you are buying the property from to see what arrangements they have made in light of the sale for future bookings.

      Reply
  3. Kim Hastings

    hi
    I have spoken to PRS/PPL re: music licenses. The current requirement is that a PRS license would only be required in a self catering holiday let in a property of 4 or more bedrooms, this assumes there is not a further communal area outside of this property

    Reply
  4. Belinda

    Hi can anyone advise me if holiday home parks have to inform you as an owner of any major construction works being carried out in the site that has lasted for over a year now.

    Reply
  5. Joanne

    I wanted to know if it’s a legal requirement that I supply a first aid kit in my mobile holiday homes for my guests?

    Reply
    1. Sarah Jarvis

      Whilst we cannot find any specific reference to this being a legal requirement, we feel it fair to assume that you would find the need to provide a first aid kit for guests and employees once you have completed your risk assessment (including Fire Risk Assessment).

      Reply
  6. Wendie Middleton

    Thank you for such information. My husband and I have just converted a bus to be a holiday let, which is nearing completion. So now to get the legal stuff right.

    Reply
  7. Catherine

    Hello thanks for the information. Will my existing public liability insurance on the building be suffice?

    Reply
    1. Sarah Jarvis

      Hi Catherine, I would recommend you speaking to an insurance company that specialises in holiday letting who should be able to help.

      Reply
    1. Sarah Jarvis

      Hi Rob, we recommend you speak to your local authority for clarification as it may depend on the property (e.g. leaseholds may have sublet restrictions) and/or location.

      Reply
  8. Ms Heawood

    Is it permissable, where a property with furnished holiday let’s is purchased, for the owners extended family to live in the let’s permanently? ie not use them as holiday let’s but as residential

    Who could you advise to speak with?

    Thanks.

    Reply
  9. Kate Feaviour

    If we don’t actually achieve 105 days’ letting (even though our holiday cottage will be available for over 210 days), would it still qualify as an ‘FHL” – i.e. business rates as opposed to council tax?

    Reply
  10. Susan Hallett

    We own the lease of a holiday lodge which we let out.
    We have a one year contract with a local letting agent
    Suddenly the freeholder of the site has said that he may insist on doing the letting himself. Thereby excluding our letting agent.
    Can he legally do this?
    I do hope you can help.
    Regards
    Susan Hallett, Devon.

    Reply
  11. Andy

    Hello

    i’d like to convert my existing BTL’s to holiday let SA. Could you advise from your experience what are the hardest parts of managing SA that most people get wrong before I dip a toe in the ocean of it ?

    Are the regulations, financing etc the killer or is it ensuring management is up to scratch so you don’t get bad reviews ?

    br

    Andy

    Reply
    1. Sarah Jarvis

      Hi Andy, it is a pretty huge subject and it goes without saying that you would need to check whether there are any restrictions for renting the property as a FHL (Furnished Holiday Let) / SA (Serviced Accommodation) with mortgage providers/council/leaseholders etc. There are also other considerations such as your legal responsibilities, insurance etc so lots of things to consider.

      If there are no restrictions preventing you from FHL then I guess one of the first questions I would ask myself is, whether the property is suitable for use as a holiday rental? Is it in a desirable location and does it have the qualities that would make it a successful self-catering property? Our blog has lots of useful articles for owners which you may find helpful.

      Should you decide to go down the route of holiday letting then you will need to decide how much time you have to manage the property, take bookings etc. If your time is limited then you may choose to use an agency to manage the bookings and possibly the turnarounds / property. If you have the time then managing the property and handling the bookings yourself should certainly provide considerable financial savings and allow you a good level of flexibility / control over the property and its usage. Which ever route you take, running a FHL will require considerable time investment and financial investment to set it up so it is at the very least, a home away from home.

      I hope this is helpful and good luck.

      Reply
  12. Kate

    Hi, if building works are being carried out on the property immediately next to the rental do we need to inform the people that have booked the property, as does this count as mis- selling?

    Thanks,
    Kate

    Reply
    1. Sarah Jarvis

      Hi Kate, as a cottage owner myself striving for customer satisfaction, I personally feel it best to inform guests who have booked to save disappointment when they arrive. We have had a similar situation at our holiday rental and have managed to find a workable solution with the neighbours doing the building work who were prepared to ensure noisy work was carried out after 09:00, any dust / mess was cleaned up and any particularly destructive noisy work was scheduled to allow us the opportunity to avoid bookings at that time. Best to keep customers happy – they are more likely to return and recommend via word of mouth!

      Reply
  13. Don Cox

    Please may I ask a question, we have a house with 8 rooms and two kitchens, each room has its own bathroom, we know that you have to rent the rooms out for a certain period each year,
    1. does that apply to each room for the house?
    2. how long can a self catering room in a property be let for to 1 continuous let.

    Your confirmation would be most appreciated.

    Reply
    1. Sarah Jarvis

      Hi Don, it does not sound like your offering is the ‘standard’ self-catering offering we would normally promote i.e. a self-contained unit with its own private facilities such as a kitchen.

      This website may be helpful in providing information about FHL (Furnished Holiday Letting).

      Reply
    1. Sarah Jarvis

      Hi Colin, this is very much down to the owner. Many owners operate 10:00 check-out with a 16:00 arrival although some do allow a later check-out and / or an earlier arrival. Over these times of Covid, many owners have allowed longer periods to carry out the cleaning tasks and asked guests to leave a little earlier / arrive a little later.

      Reply
  14. Edwina Hannaford

    Is there a legal obligation on the FHL owner to allow Royal Mail to deliver letters and parcels to people staying at the holiday let property? Can the owner ban deliveries?

    Reply
  15. Edwina Hannaford

    Sorry should have added are there different rules for FHA compared to Investment properties regarding Royal Mail
    Deliveries

    Reply
  16. C B Gillon

    What a tremendously helpful article, full of such much useful information, very appropriate to my wife and I as we will soon be venturing into this holiday letting business in our small country kirk in Perthshire, now almost converted into a residence as per holiday let planning permission by the Council

    A quick question? Ta! Though our postal address there will soon be regarded as appertaining to a holiday let, are we still able to use the address as our home address? There seems to be some doubt about this. Thanks so much.

    Reply
  17. Martin

    Very useful thanks

    Just wondering if a property has a couple of Holiday Lets (FHL) in the garden (brick built, not huts), are they counted as ‘Dwellings’ and so the rules “LBTT guidance on multiple dwellings relief.” would apply, to reduce Land and Building Transaction Tax?

    Reply
  18. Andy Pemberton

    Hi, We are looking at buying a house to use as an holiday let and wondered with it having one entrance we fear it could jeopardise our project.
    Is there a regulation to stop it being used as a holiday let
    Regards
    Andy

    Reply
    1. Hannah Sinfield Post author

      Hi Andy, not that I am aware of, but I would seek advise from your local council to double check as regulations may vary.

      Reply
    1. Hannah Sinfield Post author

      Hi Jayne, I don’t see why not but it might be worth checking with your local planning department

      Reply

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