Self-catering operators in Edinburgh set out to challenge the City of Edinburgh Council’s short-term let scheme with a Judicial Review

Whilst ensuring that the ASSC continues its role to work collaboratively with, and engage with the Scottish Government and Local Authorities, the association has a key responsibility to support its members across Scotland.

Over the coming weeks, the ASSC will be supporting members in Edinburgh to challenge The City of Edinburgh Council’s Short-Term Let scheme and has donated £1001 to the appeal to help raise funds to lodge a petition for a ‘Judicial Review‘.

We would encourage businesses across the sector to pledge to this fund to support change to the current licensing legislation put in place by the City of Edinburgh Council and avoid totally destroying the self-catering sector in a city that is vital to the Scottish tourism economy.

Four individual operators have come together and agreed to carry the burden and represent their community at large. They will be held liable for all costs incurred.

Support from across the sector is absolutely critical to make that prospect less daunting and give this challenge the best possibility of success.

PLEDGE YOUR SUPPORT HERE

“I’m Ralph. I’m a self-caterer. I was part of the hospitality sector long before the likes of Airbnb.com and Booking.com were a thing. Together with many others in our sector, we face the real threat of extermination under onerous new rules being applied retrospectively across the whole of Edinburgh. This could set a precedent for the rest of Scotland. If you run any form of self-catering style business – one which relies on, or benefits from this sector – then please read on because this directly affects you. It is time to stand up and get behind this campaign which aims to protect your rights and your livelihood.

WHY? On the 1st of October 2022 Short Term Let Licensing was introduced across Scotland by the Scottish Government. We understand the purpose of that legislation was originally to ensure that holiday properties across Scotland meet health and safety standards. We support that. We were assured by Government that reasonable operators would gain a licence. However, on 29th September 2022, the Regulatory Committee of the City of Edinburgh Council passed the city’s own licensing scheme, and it goes far beyond the spirit of the Scottish Government’s legislation. In its current form, together with planning regulations, there is no sign that reasonable operators will gain a licence. This must be challenged or self-catering in Edinburgh will be wiped out and the future of events, such as the Edinburgh Festival, will be at stake. This is about so much more than the four petitioners. We are simply representing everyone in Edinburgh whose business survives on self-catering. This is also about so much more than this city. If the Edinburgh scheme goes unchallenged, then it gives the green light to other local authorities to act against the spirit of the legislation and against the self-catering industry.

WHAT ARE WE PROPOSING? We are challenging The City of Edinburgh Council’s scheme with a Judicial Review. In doing so we have agreed as four individual operators to carry the burden and represent our community at large. We will be held liable for all costs incurred. Your support is absolutely critical to make that prospect less daunting and give this challenge the best possibility of success.

This may be a first for the petitioners but we’re confident that we have chosen the best legal team possible to represent us all. They are absolute experts in their field. Essentially, we have no choice but to raise this action. Everything is currently at stake for our community. We have to act now as the window to challenge the scheme is about to close.

Alongside myself, three other operators, Louise, Craig and Glenn with support from the ASSC, we are raising a petition to the Court of Session. We have already invested our own time and funds taking initial legal advice and we know that huge amounts of time will need to be invested in our fight. We have strong reason to believe our efforts will have a positive outcome. However, this legal action is very expensive and does not come without risk. We need your help. We can’t do it without you.

OBJECTIVE: Our aim is that reasonable operators should gain a licence. We hope that the Court will make a ‘determination’ on all or parts of the current licensing legislation. We hope that this determination will encourage The City of Edinburgh Council to go back to the drawing board and create a scheme that is fair, fit for purpose, safeguards the self-catering industry, and is focused on the health and safety of our guests. Our hope is that any determination on licensing will also force a redesign of proposed changes to planning regulations to ensure they also meet the principles of the determination.

HOW?: We need a fighting fund to pay for the legal challenge.

We encourage anybody who stands to be financially impacted to make a stand by supporting us. This is our only chance at justice after years of misguided ideas, incorrect facts and myths around our industry, which created the conditions for this legislative overreach.

There will be 4 stages to the legal challenge, with indicative dates, as follows:

Stage 1 “Lodging petition for Judicial Review” – Due by 28 December 2022
Stage 2 “Permissions stage” – Late February 2023
Stage 3 “Lodging of arguments” – Late April 2023
Stage 4 “Hearing” – Early Summer 2023
Each stage will require significant legal costs. If the case goes all the way to a ruling that would be Stage 4.

The purpose of this appeal initially is to raise funds for Stage 1. We must achieve this within the 30-day timeframe. We estimate the cost for Stage 1 to be £80,000.

Success for the petitioners would be for The City of Edinburgh Council to acknowledge their overreach and to work collaboratively on a better outcome for all parties. This may be before Stage 4 if the legal arguments are successful. It does not have to be that we go to a Stage 4 hearing. However, we need your help to take the case all the way… if that’s what it takes.

At each stage we will be reviewing the strength of our case and whether we have the funds to allow us to continue to challenge The City of Edinburgh Council’s right to effectively eradicate our sector and livelihoods. If we think our case is going positively, the petitioners need your support for Stage 2 of the process. This will cost up to £65,000 to proceed on top of the initial sum raised. Stage 3 is £75,000 on top of Stage 2 and, if we go all the way, for Stage 4 it will be up to £300,000 on top of Stage 3. Legal fees need to include paying the other side’s costs if we lose.

Rest assured, we are not taking this action in the belief that our case lacks merit.

Every little bit helps. Please give what you can. If you’re a guest and want to continue to be able to stay in self-catering in Edinburgh, please contribute. If every self-catering owner or ancillary operator running a business which relies on this sector chips in with £1,000 per property operated, we could very quickly meet the Stage 4 target. All funds should be considered as an investment towards the future of your business. Is your survival worth £1,000?

TRANSPARENCY: We realise asking our industry for such significant funds carries a weight of responsibility. For this, we will set up protocols to ensure there is transparency around the process and how funds are being spent. A Chartered Accountant will ensure expenses will be fully accounted for and reported as part of updates to those supporting this fight.

Everything raised via Crowd Justice goes directly to the lawyers and will be spent on legal efforts to challenge Edinburgh City Council’s interpretation of licensing legislation. Any funds unspent in meeting all legal costs incurred will be returned pro rata to supporters who give £1,000 or more.

This is our hour of reckoning. We must make a stand or accept that the fight is lost. I’m not ready to throw in the towel. I never saw myself as part of the vanguard that would come out fighting this in the courts, but it’s a calculated risk. If we fight we could still lose. But if we don’t fight, we will definitely lose.

My self-catering livelihood may survive this political pogrom. But what is the value for any of us in being amongst the last ones standing, if the scorched earth policy of The City of Edinburgh Council decimates and depresses the tourism sector for short-stay letting and all the ancillary businesses we support, potentially for years to come? We have been left with no choice but to fight for our right to exist.”

Ralph Averbuch, Self-Catering owner/operator

The following are the initial petitioners seeking this Judicial Review and have each pledged £4,000 to this fight.

  • Ralph Averbuch
  • Glenn Ford
  • Craig Douglas
  • Louise Dickins

With grateful thanks for the support of:-

  • The Association of Scotlands Self-Caterers
  • Anna Morris
  • Iain Muirhead
  • Mason & Carr Property Management Ltd
  • Marc Hughes

Highland Council Planning Policy Consultation

The Highland Council is consulting on draft planning policies to support the Badenoch and Strathspey Short-term Let Control Area. This consultation will help inform the policies to be used in the Planning Control Area now that is has been approved by Scottish Ministers.

See more on the Planning Control Area.

“The policies have been developed to control short-term secondary letting across Ward 20 to help tackle the rural housing crisis and support rural communities.

“The proposed policies can be viewed and commented upon on the Council consultation page – https://consult.highland.gov.uk/kse/.   All comments received will be considered and used to finalise the policy.   Comments must be submitted in writing no later than 3rd February 2023.  The consultation period has been extended from six weeks to 8 weeks to accommodate the festive period.

“The Highland Council is currently only the second Local Authority in Scotland to be proposing the establishment of a Short-term Let Control Area, after Edinburgh Council commenced their Short-term Let Control Area in September 2022.

“A Control Area is not a ban on Short Term Let and would not change the planning rules around certain type of accommodation.   This consultation is also not related to the recent the Scottish Government announcement for all forms of Short-term Lets to be licensed by April 2024.

“For further information, please visit www.highland.gov.uk/stlcontrolarea  or contact the Highland Council, Development Plans Team on devplans@highland.gov.uk”

Badenoch & Strathspey Becomes Planning Control Area

Scottish Ministers have approved the proposed designation of Highland Council Ward 20 (Badenoch & Strathspey) as a Short-Term Let Control Area.

Fiona Campbell, Chief Executive of the Association of Self-Caterers, said:

“The decision by Scottish Ministers to grant Badenoch and Strathspey a short-term let control area is based on such flimsy, unevidenced grounds.

As the original consultation showed, responses for and against were evenly split. We warned of the unintended consequences of this measure, and the lack of empirical data to support it, and are disappointed that our concerns have been overlooked for an industry that generates over £200m per annum for the Highlands economy. 

While hitting council budgets at a time they can least afford it, there is no evidence that this policy will work in addressing housing challenges. Instead of taking a holistic approach – for instance, building more affordable housing or action on empty homes – clamping down on short-term lets is seen as a simplistic cure-all. 

This is deeply depressing news after we had welcomed the decision to pause short-term let licensing applications for existing operators. It appears that the Scottish Government give with one hand and take away with the other.”

The Highland Council is consulting on draft planning policies to support the Badenoch and Strathspey Short-term Let Control Area. This consultation will help inform the policies to be used in the Planning Control Area now that is has been approved by Scottish Ministers. Please respond to this consultation – find out more here.

In a letter to Highland Council, the Scottish Government confirmed the following:

“TOWN AND COUNTRY PLANNING (SCOTLAND) ACT 1997

TOWN AND COUNTRY PLANNING (SHORT-TERM LET CONTROL AREAS) (SCOTLAND) REGULATIONS 2021: REGULATIONS 3 AND 8
PROPOSED WARD 20 (BADENOCH AND STRATHSPEY) SHORT-TERM LET CONTROL AREA

I refer to your email of 11 August 2022 seeking the approval of Scottish Ministers to designate Ward 20 (Badenoch & Strathspey) of Highland Council area as a Short-term Let Control Area under the terms of the above Regulations.

Scottish Ministers’ Decision

Scottish Ministers have carefully considered all the evidence presented to them including the Council’s Statement of Reasons for the designation and the relevant committee and council meeting reports and minutes.

Circular 1/2021: Establishing a Short-term Let Control Area states that in considering a proposal for a control area, Ministers will seek assurance that the planning authority has: a) taken reasonable steps to raise awareness in the proposed control area(s) and

consulted appropriately;
b) taken account of the views expressed in consultation and considered this with any

other relevant evidence; and
c) come to a reasoned decision as set out in the accompanying statement.

Ministers consider that these points have all been satisfied by the planning authority. The planning authority proposes to designate the control area in order to manage high concentrations of short term lets across the ward, ensure homes and land are used to best effect, and control secondary letting of dwelling houses to protect neighbouring residential amenity. Ministers consider that these are valid reasons to propose the designation, and conclude that the proposed designation would be justified and reasonable.

The Town and Country Planning (Short-term Let Control Areas) (Scotland) Regulations 2021i, read with section 26B(3) of the Town and Country Planning (Scotland) Act 1997 (“the Act”) set out when a short term let is provided.

A change of use of a dwelling house to a short-term let after the designation of the control area will be deemed to be a material change of use by virtue of section 26B of the Act.

Where the change of a dwelling house to a short-term let took place before the designation of the control area the existing rules will apply. These require planning permission for a change of use of property where that change is a material change in the use of the property.

Following the submission of the Council’s request to Ministers, further correspondence has been received from Shepherd & Wedderburn on behalf of Airbnb. Ministers have taken this correspondence into account in this decision on the proposed designation. The correspondence does not alter Ministers’ view that the proposed designation of the STLCA is justified and reasonable.

Accordingly and on the above basis, Scottish Ministers hereby approve the proposed designation of Highland Council Ward 20 (Badenoch & Strathspey) as a Short-Term Let Control Area.

STL-270-001 Decision letter