Three years after Scottish Ministers introduced a new regime
requiring landlords of short-term lets to have a licence, we have
seen the first criminal convictions for those operating without
one. The cases were both reported to Crown Office by the City of
Edinburgh Council, resulting in fines for the landlords. These
cases are unlikely to be the last, as the council has revealed that
it is actively reviewing twelve similar situations.
Under the new regime, it is a criminal offence to operate a
short-term let without the appropriate licence in place. Failure to
comply can lead to fines of up to £2,500. Offenders can also
be banned from applying for a licence for one year, and from
operating a short-term let in the interim – which landlords
may consider an even more costly penalty than the criminal fine
imposed.