Since the start of 2025, every short-term let in Scotland needs a licence to operate. Here is what that means in plain English, without the legal jargon. Last updated August 2026.
Do you need a licence? Almost certainly, yes
Every short-term let in Scotland needs a licence from its local council, whether it is a holiday cottage, a serviced apartment, a room in your home, or something more unusual like a pod or a yurt. It applies however short the stay, even a single night. Since 1 January 2025 you must hold a valid licence to let legally, and operating without one is a criminal offence, with a fine of up to £2,500 and a possible one-year ban on applying again.
Which licence do you need?
There are four types, and which one you need depends on the property and whether you are there during the stay:
- Home sharing: you let part of your own home while you are living in it.
- Home letting: you let your whole home while you are away.
- Secondary letting: you let a property that is not your main home, which is the usual case for a dedicated holiday let or Airbnb.
- Home letting and home sharing: a combination of the two.
What the licence requires
Every licence comes with mandatory safety conditions. In short, you will need:
- Public liability insurance, usually at least £2 million.
- A gas safety check, where there is gas.
- An electrical safety inspection, an EICR.
- Interlinked smoke, heat and carbon monoxide alarms.
- A sensible plan for managing noise and anti-social behaviour.
Control areas and planning permission
Some councils have gone further and created control areas, where turning a second property into a short-term let is a change of use that needs planning permission as well as a licence. Edinburgh made the whole city a control area back in September 2022, and Highland followed for its Badenoch and Strathspey ward in March 2024. Letting a room in your own home, or your own home while you are away, does not usually need planning permission.
The Edinburgh visitor levy
If you let in Edinburgh, note that from 24 July 2026 the council adds a 5% visitor levy on overnight stays, which you will need to collect from guests and pass on. It is another piece of admin that the right booking setup can handle for you.
A quick word
This is a plain-English guide, not legal advice, and the rules and dates do change. Always check the current position with your own local council, and a body like the Association of Scotland’s Self-Caterers, before you act.
Getting it right online
Part of running a licensed let properly is showing the right information to guests: your licence number, safety details and house rules. Those belong on a website you own and control, not buried in a platform listing. That is exactly what we build, see our direct-booking websites for Scottish short-term lets.
Common questions
Is it really illegal to let without a licence?
Yes. Since 1 January 2025, letting a short-term let in Scotland without a licence is a criminal offence, and the fine can be up to £2,500.
How much does a licence cost?
It varies by council and by the size of the property, so check your own council’s current fees. It is applied for from the council that covers your property.
Do rooms and home-shares need a licence too?
Yes. Letting even a single room in your own home for short stays needs a licence.
What is a control area?
An area, like the whole of Edinburgh, where turning a second property into a short-term let needs planning permission as well as a licence.
