By Matt O'Sullivan
The NSW government has decided to delay the introduction of new rules for Airbnb-style letting across the state by three months after an outcry from councils and online rental company Stayz.
The short-term letting rules were due to come into force on July 30, but the government has decided within the past 24 hours to delay their introduction to November 1.
Planning and Public Spaces Minister Rob Stokes said the government had received substantial feedback from key stakeholders about concerns regarding the timeline to implement changes.
NSW Planning and Public Spaces Minister Rob Stokes.Credit: Kate Geraghty
“In the interest of conciliation, and to give the policy the best chance to succeed, we’re happy to extend the date for implementation to November 1,” he said late on Tuesday.
Under the new rules, a 180-day cap on using empty properties for Airbnb-style letting will be expanded beyond greater Sydney to a number of coastal areas and regional centres in NSW.
Earlier on Monday, Mr Stokes said the government had given a “huge amount of time” to developing the statewide planning rules and had already delayed them coming into force until July 30 to ensure people had enough time to grasp them.
“It’s not as if no one knew this was coming. We have been talking about this for a long time,” he said on Monday.
“It’s time now to provide some certain rules for everybody. That’s not to say that things are fixed in stone but I think starting with clear, simple rules that everyone can understand is the best way forward.”
Stayz, which is controlled by online travel booking giant Expedia, had labelled the introduction of the short-term rental rules as a “slow-moving wreck”. It had asked the government to delay them by at least six months to allow for further consultation and trials of the regulations.
Councils also argued the rules will erode their planning powers, and flew in the face of government assurances that regional councils would retain control over the number of days that empty residential properties can be let for short periods each year.
Under plans announced in 2018, councils outside greater Sydney were to have the power to impose their own caps, no fewer than 180 days a year.
Local Government NSW president Linda Scott said councils appreciated that the government had listened to its concerns by delaying the introduction of the new laws.
“Councils are best placed to balance the pressures of housing affordability and local tourism economies, and we hope that Minister Stokes recognises this in any future changes,” she said.
Mr Stokes said the government was open to listening to councils’ concerns if they showed evidence that Airbnb-style letting was adversely impacting rental affordability in their areas.
He cited the government’s decision to give Byron Shire Council an extension to develop a planning proposal seeking to limit short-term letting to 90 days. The council will have a special exemption from the new rules until January, or until its proposal is determined.
Byron Shire Council has lodged a planning proposal seeking to limit Airbnb-style letting to 90 days a year.Credit: Danielle Smith
Mr Stokes said the government’s position was that it wanted to provide as much consistency as possible for short-term rental accommodation across the state.
“The councils would love the capacity I think to regulate everything. The platforms I think would love the opportunity to regulate nothing. So the government has got to try to find the right balance between those two positions,” he said.
But the non-profit Owners Corporation Network, which represents apartment owners, accused the government of capitulating to technology companies and stripping councils of planning powers. “The 180-day cap is excessively generous by world standards,” spokesperson Jane Hearn said.
While the 180-day cap will apply to empty properties in greater Sydney and six other areas in regional NSW, people who live in a house or apartment across the state will be able to rent out a part of their homes such as a spare room for 365 days a year.
Apart from the limits on the number of days unoccupied properties can be rented, the government’s final policy includes a code of conduct for hosts, guests, online booking platforms and agents, as well as minimum fire standards.
Catch all the day’s breaking news
At the end of each day, we’ll send you the most important breaking news headlines, evening entertainment ideas and a long read to enjoy. Sign up here.
clarification
An earlier version of this story said the state government would not consider any further delays in implementing the new planning rules for Airbnb-style letting. However, the government said late on Tuesday that it had since decided to extend them to November 1.