The 90 day rent rule in London means landlords can only rent out their entire property on a short-term basis for up to 90 nights a year, unless they have planning permission from their local council.
If you are a landlord in London and are thinking about short-term lets, the 90-day rule is something you need to understand from the start.
At J Property Management, we work with landlords across London to help them stay compliant while maximising their income. If you need guidance or advice around planning permission for a short-term let, get in touch with the team today.
Here is everything you need to know about the rule and how it affects you.
What Is The 90 Day Rent Rule?
The 90 day rent rule in London means you can only rent out your whole property on a short-term basis, like through Airbnb or Booking.com, for up to 90 nights in a calendar year unless you have planning permission from the council.
Once you hit that limit, platforms such as Airbnb will automatically stop you taking more bookings. If you try to go over it without permission, you might get fined up to £20,000. It’s designed to stop too many homes being taken out of the long-term rental market while still letting landlords earn extra income.
Where Does The 90 Day Rent Rule in London Apply?
The 90 day rule applies to all properties within the Greater London area. It covers any properties that are listed on a short-term rental platform, whether that’s Airbnb, Booking.com or any others.
Importantly, the 90 nights are counted across the year, whether they are used in one go or spread out in chunks.
If you only rent out a single room in your home, rather than the whole place, then the 90-day-rule does not apply. That means you can host lodgers or guests all year round.
Why Was The 90 Day Rent Rule Introduced?
The 90 day rule was introduced to control how short-term lets were impacting London’s housing market. Before 2015, owners technically needed planning permission to rent out their property for even a short period of time, but in reality thousands of places were being listed on platforms like Airbnb without approval.
The Deregulation Act 2015 changed this by allowing homeowners to rent their entire property for up to 90 nights per year without needing permission. This was designed to give Londoners the some flexibility, while still protecting long-term housing market.
The cap was put in place for three main reasons:
Housing supply: Londoners face a shortage of affordable homes. Given how profitable short-term lets can be, especially in big cities like London, more properties were at risk of being switched from residential homes to holiday lets. This made it even harder for Londoners to find long-term rentals.
Neighbourhood stability: A high turnover of short-term guests can be a problem local communities. Noise complaints, security and a loss of the sense of community means a lot of short-term lets can be a problem in residential areas.
Fairness: The rule is meant to be a compromise between supporting homeowners who want to earn some extra money and making sure Londoners are not pushed out of the housing market.
Platforms like Airbnb agreed to enforce the rule automatically in 2017 by blocking bookings beyond 90 nights. Since then, councils have been able to monitor properties more easily and issue fines of up to £20,000 for any landlord that breaches the rule.
How Is The 90 Day Rule Enforced?
Airbnb automatically blocks listings in London once they hit the 90 night limit, and other platforms are expected to do the same. By doing this, local councils can more easily spot properties that breach the rule.
And the penalties are pretty expensive. A landlord who ignores the 90 day rule can face fines of up to £20,000.
What If You Want To Let Your Property For Longer Than 90 Days?
If you want to rent your entire property short-term for more than 90 days, you will need to apply for planning permission from your local council. Whilst it is possible for the council to grant this, it is becoming increasingly rare.
There are a few ways that landlords get around this, including:
- Switching to medium-term lets (three to eight months) which may be more likely to be accepted.
- Moving to long-term tenancies after their 90 nights are used.
- Renting out rooms in the property instead of the entire home.
At J Property Management, we can help you explore which approach makes the most financial sense while keeping you fully compliant.
Other Things Landlords Need To Consider With Short Term Lets
When it comes to short-term lets, the 90 day rule isn’t the only thing worth knowing about. When we speak to landlords about letting their properties short-term, we suggest they also check:
- Mortgage terms: Some lenders will ask you to have a holiday let or commercial mortgage rather than a standard buy-to-let.
- Insurance cover: Short-term letting often needs specialist holiday let or serviced accommodation insurance. Standard home insurance is not likely to apply.
- Freeholder or landlord consent: If your property is leasehold or sub-let, you may need to also get permission elsewhere.
- Safety and neighbour relations: Fire safety, bin collection and communication with neighbours all matter when hosting short-term tenants.
What Are The Pros and Cons Of The 90 Day Rent Rule?
Whilst it does sound like a messy (and unfair) system, the 90 day rent rule does have its pros and cons, including:
Pros:
- Protects the availability of housing stock for Londoners.
- Reduces disruption from constant guest turnover.
- Makes short-term letting easier to understand for landlords.
Cons:
- Limits the income you can generate from short-term rentals.
- Planning permission from the council for short-term lets is very hard to secure.
- Puts London at a disadvantage compared with cities like Paris, which allows 120 days.
How J Property Management Can Help
Short lets can still be a great way to boost your rental income, but the 90 day rule makes it important to plan properly.
At J Property Management, we help landlords like you:
- Increase your earnings for the 90 days you are allowed
- Look at medium and long-term let strategies for the rest of the year
- Stay compliant with planning rules, mortgage conditions and insurance
- Manage bookings, tenants and property upkeep so you can enjoy the income without the stress
If you want to make the most of your property in London without falling foul of the 90 day rule, our team is here to guide you every step of the way.
The 90 Day Rent Rule: Good or Bad?
The 90 day rent rule in London may feel restrictive, but it is an important way to balance tourism with the need for affordable housing.
For landlords, it means you need a clear idea of how to best use your property throughout the year.
Want some more personalised advice? Get in touch with the team at J Property Management today to find out how you can boost your income with short-term lets.
