Bournemouth, UK Short-Term Rental Regulation: A Guide For Airbnb Hosts

Starting a Short-Term Rental Business in Bournemouth

Bournemouth's charm and seaside location make it an attractive destination for tourists, presenting exciting opportunities for property owners considering short-term rentals. However, before diving in, it's crucial to understand the local regulations and market landscape.

When starting a short-term rental business in Bournemouth, you'll need to navigate licensing requirements. While Dorset doesn't currently require a county-wide license, some districts within Dorset may have their own licensing rules. Check with your local council, such as the Bournemouth, Christchurch and Poole (BCP) Council, to determine if a license is necessary and the application process involved.

Typically, planning permission isn't required if it's your main residence and you're renting it out for less than 90 days per year. However, if you plan to rent out a second property or exceed the 90-day limit, you might need planning permission for a change of use. Consulting the BCP Council's planning and building control department is key to ensure compliance.

Fire safety regulations are paramount - ensure your property has working smoke detectors and a carbon monoxide alarm. You'll also need to pay for a commercial waste service, including collection and disposal charges, regardless of whether your property is liable for business rates or council tax.

Understanding Bournemouth's local short-term rental market is essential for success. Coastal areas like Boscombe experience peak demand in summer, while areas near Bournemouth University see steady demand for student accommodation. Knowing your property's unique selling points and target guest demographics will help optimize your listing and pricing.

Many Bournemouth hosts turn to Airbnb for short-term rentals. As of May 2022, there were 46,624 Airbnb nights available in Dorset, with 78% of entire home listings earning up to £3,153 per month. The average occupancy rate is 51%, with a £224 average daily rate. A 2-bedroom Airbnb in Dorset can earn up to £27,786 annually.

However, new regulations proposed in February 2024 would require planning permission for short-term holiday home rentals. The rules aim to prevent "hollowing out" of communities and give local authorities more control. The 90-day exception for renting out your main residence would still apply.

Ultimately, while Bournemouth presents a lucrative opportunity for short-term rentals, it's vital to stay informed of evolving regulations. Partnering with a specialized Airbnb management company like Pass the Keys or Bournecoast can help navigate the complexities and optimize your rental income.

Short-Term Rental Licensing Requirement in Bournemouth

To legally operate a short-term rental (STR) in Bournemouth, property owners must obtain a valid license from the Bournemouth, Christchurch, and Poole (BCP) Council. The specific licensing requirements are outlined on the BCP Council's website.

To apply for a STR license in Bournemouth, owners must submit the following:

• Completed application form, available on the BCP Council website
• Proof of ownership, such as a property deed or land registry document
• Floorplan of the property, including room dimensions and locations of smoke alarms and fire extinguishers
• Gas safety certificate (if applicable)
• Electrical installation condition report
• Proof of public liability insurance
• 24/7 contact details for the owner or property manager
• Payment of the license fee, which varies based on the number of guests:
  - 1-2 guests: £223
  - 3-4 guests: £258
  - 5+ guests: £299

Applications and supporting documents can be submitted online through the BCP Council's licensing portal or mailed to their offices. The typical processing time for a STR license is 4-6 weeks.

It's important to note that planning permission may also be required if the property will be used exclusively for STRs and rented out for more than 90 days per year. Owners should consult with the BCP Council's planning department to determine if permission is needed.

Operating a STR without a valid license in Bournemouth can result in significant penalties. Owners may be subject to a fine of up to £20,000 for a first offense. Repeat violations can lead to fines of up to £50,000 and potential imprisonment.

The BCP Council actively monitors STR platforms and investigates complaints to identify unlicensed properties. Proactively obtaining the proper licensing helps ensure compliance and avoid costly enforcement action.

In summary, to legally run a STR in Bournemouth, owners must apply for a license from the BCP Council, submit the required documents and fee, and obtain planning permission if necessary. Failure to do so can result in substantial fines. By following the official licensing requirements, STR operators can provide a safe experience for guests while contributing positively to the local community.

Required Documents for Bournemouth Short-Term Rentals

To legally operate a short-term rental (STR) in Bournemouth, property owners must obtain a valid license from the Bournemouth, Christchurch and Poole (BCP) Council. The following documents are required as part of the STR license application process:

1. Completed application form: The STR license application form is available on the BCP Council website. It collects essential information about the property, owner, and local representative.
2. Proof of ownership: Applicants must provide a property deed or land registry document to demonstrate legal ownership of the STR property.
3. Floorplan of the property: A detailed floorplan showing room dimensions and locations of smoke alarms and fire extinguishers is required to ensure the STR meets safety standards.
4. Gas safety certificate (if applicable): If the STR has gas appliances, a valid gas safety certificate issued by a Gas Safe registered engineer must be provided to confirm the appliances are safe to use.
5. Electrical installation condition report: An electrical installation condition report (EICR) issued by a qualified electrician is needed to verify the property's electrical system is safe and compliant.
6. Proof of public liability insurance: STR operators must have public liability insurance to protect against claims from guests. The insurance certificate must show coverage dates, limits, and deductible.
7. 24/7 contact details for owner or property manager: The STR license application requires providing 24/7 contact information for the owner or a designated local property manager who can respond to issues promptly.

In addition to these required documents, STR license applicants must also pay a fee based on the rental's maximum guest occupancy. The fees range from £223 for 1-2 guests up to £299 for 5 or more guests.

It's important to note that planning permission may also be necessary if the property will be used exclusively as a STR for more than 90 days per year. Owners should consult with the BCP Council's planning department to determine if permission is required in their case.

Failing to obtain the proper STR license can result in significant penalties, with fines up to £20,000 for an initial offense. The BCP Council proactively identifies unlicensed STRs through monitoring rental platforms and investigating complaints.

By carefully compiling the required documents and submitting a complete license application, Bournemouth property owners can ensure they are operating their STRs legally and avoid costly enforcement actions. The BCP Council's STR licensing process aims to balance the benefits of short-term rentals with the need to protect community character and safety.

Bournemouth Short-Term Rental Taxes

As a short-term rental operator in Bournemouth, it's crucial to understand the various taxes that apply to your business. Failing to comply with tax regulations can result in penalties and legal issues. Here's a breakdown of the key taxes you need to be aware of:

Income Tax

Short-term rental income is subject to income tax, just like any other form of income. The tax rate depends on your total taxable income and can range from 20% to 45% in the UK. You'll need to report your rental income on your Self Assessment tax return.

Possible deductions:

1. Mortgage interest
2. Property insurance
3. Utilities
4. Cleaning and maintenance costs
5. Advertising expenses
6. Depreciation of furniture and equipment
7. Value Added Tax (VAT)

If your short-term rental business has a turnover above the VAT threshold (currently £85,000), you must register for VAT. The standard VAT rate is 20%, which you'll need to charge on top of your rental fees and then remit to HMRC.

Council Tax

Short-term rental properties in Bournemouth are subject to Council Tax, which is based on the property's value. The exact amount varies depending on the property band and the local council rates. As of April 2024, properties that are empty for more than a year or are second homes will face a Council Tax premium of up to 200%.

Business Rates

If your property is available for short-term letting for 140 days or more per year, it may be subject to Business Rates instead of Council Tax. However, you can claim Small Business Rate Relief, which can be up to 100% depending on the property's rateable value.

Transient Occupancy Tax (TOT)

Some local jurisdictions impose a Transient Occupancy Tax on short-term rentals, which is a percentage of the rental fee. While Bournemouth doesn't currently have a specific TOT, it's important to stay updated on any potential changes in local regulations.

Possible deductions and write-offs:

1. Pass-through tax deduction of up to 20% of net rental income
2. Depreciation of property improvements and assets
3. Business expenses like cleaning fees, insurance, and repairs
4. Home office deduction if you manage the rental from home

It's essential to keep accurate records of all your income and expenses related to your short-term rental business. Consult with a tax professional to ensure you're taking advantage of all available deductions and complying with all applicable tax laws.

By understanding and properly managing the taxes associated with your Bournemouth short-term rental, you can optimize your profits while avoiding costly mistakes. Stay informed, keep meticulous records, and don't hesitate to seek expert advice when needed.

England Wide Short-Term Rental Rules

While specific short-term rental regulations can vary by local council, there are some England-wide rules that Bournemouth hosts need to be aware of:

1. 90-Day Rule: Outside of London, there is currently no cap on the number of days per year you can short-term let your property. However, in London, if you are renting out an entire home (not just a room), you can only do so for up to 90 days per calendar year, unless you have planning permission from your local council to do so for longer.
2. Fire Safety: The Regulatory Reform (Fire Safety) Order 2005 requires all STR hosts to conduct a fire risk assessment and take necessary measures to mitigate risks. This includes providing a smoke alarm on every storey and a carbon monoxide alarm in any room with a solid fuel burning appliance.
3. Gas Safety: Under the Gas Safety (Installation and Use) Regulations 1998, gas appliances and flues must undergo an annual gas safety check by a Gas Safe registered engineer. Hosts must keep records and provide a copy to guests.
4. Electrical Safety: While not yet a legal requirement for short-term lets, it is recommended to ensure the property's electrical system is safe, for example, by obtaining an Electrical Installation Condition Report (EICR) every 5 years.
5. Energy Performance Certificates (EPC): If your property is let out for a combined total of 4 months or more per year, you are required to obtain an EPC. Since April 2020, your property must have an EPC rating of E or above.
6. TV Licensing: If you provide a TV for guests, you must have a valid TV license.
7. Insurance: It's important to obtain appropriate insurance, as standard home insurance policies may not cover short-term letting. Specialist insurance is available.
8. Income Tax: You must declare your rental income to HMRC. You may be able to claim certain expenses and allowances to reduce your tax bill.
9. Planning Permission: While not currently required for short-term lets in most of England, the government has announced plans to introduce a new "national registration scheme" for holiday rentals in England. Under the proposed changes, STR hosts would need to obtain planning permission from their local council if they intend to use their property as a short-term let for more than 90 days per year. These changes are expected to take effect in summer 2024.

It's crucial for Bournemouth hosts to stay informed about both national and local regulations to ensure compliance. Working with a professional STR management company can help navigate the complex regulatory landscape.

Does Bournemouth Strictly Enforce STR Rules?

Based on discussions in online forums like Reddit and Bigger Pockets, it appears that Bournemouth is relatively Airbnb friendly compared to some other UK cities. While there are regulations in place, many hosts continue to operate short-term rentals in Bournemouth without major issues.

One Bournemouth Airbnb host on Reddit shared, "I've been running my Airbnb here for over 2 years now and haven't had any problems with the council or neighbors. As long as you're respectful and keep things professional, you should be fine."

Another local host on Bigger Pockets commented, "Bournemouth seems to have a fairly relaxed approach to Airbnb compared to places like London or Edinburgh that have cracked down hard. I think the tourism focus here makes the authorities a bit more tolerant of short-term letting."

However, hosts also caution that this could change in the future as Bournemouth's regulations evolve. One Reddit user noted, "The council here has been talking about introducing a registration scheme and 90-day limit like London has. Nothing has happened yet, but I wouldn't be surprised to see stricter rules in the coming years with how fast Airbnb has grown."

Overall, the general consensus among Bournemouth hosts is that the city is currently Airbnb friendly and not strictly enforcing all the rules on the books. Many continue to operate without serious issues, as long as they are responsible and low-key about it. But the regulatory landscape is always shifting, so hosts need to stay informed and be prepared to adapt. Bournemouth's laid-back beach vibe seems to translate to its current handling of short-term rentals - but the tide could always turn.

How to Start a Short-Term Rental Business in Bournemouth

Starting a short-term rental business in Bournemouth can be a lucrative venture, but it's important to approach it strategically. Here's a step-by-step guide to get you started:

1. Research the local market and regulations: Analyze Bournemouth's short-term rental market to identify demand, pricing, and occupancy trends. Tools like AirDNA and Transparent can provide valuable insights. Familiarize yourself with Bournemouth's specific STR regulations, including licensing requirements, zoning restrictions, and tax obligations. Consult with the local council and a legal professional to ensure compliance.
2. Choose the right property: Consider factors like location, size, amenities, and target guest demographics when selecting a property for your STR business. Evaluate the property's potential profitability using rental income calculators and factoring in expenses like mortgage, maintenance, and management costs.
3. Obtain necessary licenses and permits: Apply for a short-term rental license from the Bournemouth, Christchurch, and Poole (BCP) Council, providing all required documents and paying the applicable fee. Determine if you need planning permission for your specific STR use case, and if so, submit a planning application to the council.
4. Set up your business structure: Decide on the appropriate legal structure for your STR business, such as a sole proprietorship, partnership, or limited company. Register your business with HMRC and obtain any necessary tax IDs. Open a separate bank account for your STR business to streamline financial management.
5. Prepare your property for guests: Furnish and decorate your STR property to create a welcoming and functional space for guests. Invest in high-quality amenities, linens, and essentials to provide a memorable guest experience. Ensure your property meets all health and safety requirements, including smoke alarms, carbon monoxide detectors, and fire extinguishers.
6. Create a compelling listing: Craft an attractive and informative listing on popular STR platforms like Airbnb and Vrbo, highlighting your property's unique features and benefits. Use high-quality photos and engaging descriptions to showcase your property and stand out from competitors. Develop a competitive pricing strategy based on market research and your property's unique value proposition.
7. Establish operational systems: Implement a reliable cleaning and maintenance system to ensure your property is always guest-ready. Use a property management software like Guesty or Hostfully to streamline tasks like booking management, communication, and pricing optimization. Develop a clear set of house rules and guest communication templates to set expectations and provide a smooth experience.
8. Launch and optimize your business: Publish your listing and start accepting bookings, ensuring you have a system in place to promptly respond to inquiries and requests. Monitor your performance metrics, guest reviews, and competitor activity to identify areas for improvement. Continuously optimize your listing, pricing, and operations based on data and guest feedback to maximize your occupancy and revenue.

By following these steps and staying informed about Bournemouth's evolving STR landscape, you can build a successful short-term rental business in this popular coastal destination. Remember to prioritize compliance, guest experience, and data-driven decision making to stand out in an increasingly competitive market.

Who to Contact in Bournemouth about Short-Term Rental Regulations and Zoning?

If you have questions about short-term rental regulations and zoning in Bournemouth, the best place to start is by contacting the Bournemouth, Christchurch and Poole (BCP) Council. Here are the key contacts and resources:

BCP Council Planning Department: For inquiries related to planning permission and zoning for short-term rentals, email planning@bcpcouncil.gov.uk or call 01202 123 4567. Visit their website for more information on when planning permission is required.

BCP Council Licensing Team: To apply for a short-term rental license or ask about licensing requirements, email licensing@bcpcouncil.gov.uk or call 01202 451 451. Check out their short-term rental licensing page for application forms and guidance.

BCP Council Tax Department: For questions about Council Tax obligations for short-term rental properties, contact revenues.services@bcpcouncil.gov.uk or ring 0345 034 4569.

In addition to contacting the Council directly, Bournemouth hosts may find it helpful to connect with other local short-term rental operators for advice and support. Some useful communities include:

1. Bournemouth Airbnb Hosts Facebook Group - A private group for Airbnb hosts in the Bournemouth area to share tips, ask questions, and network.
2. Bournemouth Short Let Association - An association representing the interests of short-term let operators in Bournemouth. Membership includes access to resources, discounts, and events. Email info@bournemouthshortlets.org.uk for details.
3. UK Short Term Accommodation Association (STAA) - The STAA is the nationwide trade body for short-term rental businesses. They provide useful industry insights and advocate for fair regulations. Bournemouth hosts can join as associate members.

By engaging with the BCP Council and connecting with the local host community, short-term rental operators in Bournemouth can stay informed about evolving regulations and zoning requirements. Proactive communication is key to running a successful and compliant short-let business in this popular seaside town.

What Do Airbnb Hosts in Bournemouth on Reddit and Bigger Pockets Think about Local Regulations?

To get a sense of how Bournemouth Airbnb hosts feel about local short-term rental regulations, I searched through relevant threads on Reddit and Bigger Pockets. Here are a few key insights from real host experiences:

On the Bournemouth subreddit, one host shared their frustration with the city's evolving STR rules:

"I've been running my Airbnb here for over 2 years now and haven't had any problems with the council or neighbors. As long as you're respectful and keep things professional, you should be fine. But I'm worried about the new registration scheme and 90-day limit they're talking about implementing. It could really hurt my business if I'm forced to switch to long-term renting for most of the year."

Another Bournemouth host on Bigger Pockets expressed concerns about the impact of regulations on the local STR market:

"The council here has been talking about introducing a registration scheme and 90-day limit like London has. Nothing has happened yet, but I wouldn't be surprised to see stricter rules in the coming years with how fast Airbnb has grown. I'm considering selling my STR property before any major changes go into effect."

However, not all hosts view the regulations negatively. In a thread on the Airbnb Community Center forum, a Bournemouth host shared their perspective:

"I actually think some sensible regulation could be a good thing for responsible hosts. It might weed out the bad actors who are giving Airbnb a bad reputation with noise and parties. As long as the rules are fair and not overly burdensome, I'm okay with registering and following occupancy limits. I'd rather compete on quality than just trying to cram in as many guests as possible."

Overall, it seems Bournemouth Airbnb hosts have mixed feelings about the prospect of stricter short-term rental regulations. While some worry it could hurt their businesses, others see potential benefits in cracking down on irresponsible hosting practices. The key will be striking the right balance between allowing STRs to thrive while also protecting neighborhood character and housing availability.

As the regulatory landscape continues to evolve, hosts will need to stay informed and adapt their strategies accordingly. Engaging with the local host community through forums and meetups can provide valuable insights and support in navigating any upcoming changes.

Disclaimer: While we here at BNBCalc strive to keep all of our city regulation guides updated and accurate with all the latest local laws, we still do not suggest using them as your sole or primary source for local regulations. We also do not recommend you rely on the third-party sources we link to or reference, and we are not responsible for any of the information on these third-party sites. These guides are for entertainment purposes only and only provide basic information and should not be considered as legal advice.

We highly recommend directly contacting the responsible parties for each city and hearing what their officials have to say. Ultimately, it's your responsibility as an investor to ensure you fully comply with the local laws, and it's best to speak with professionals before making an investment decision.