The European Union is preparing new guidelines that could give cities and regional authorities greater powers to regulate short-term tourist accommodation, including rentals listed on platforms such as Airbnb. The move aims to address housing affordability concerns in popular tourist destinations.
According to a draft proposal reviewed by AFP, the European Commission is expected to introduce legislation clarifying when local authorities can restrict short-term rental activity. The proposal forms part of the bloc’s broader Affordable Housing Act initiative.
Tourism-heavy destinations, including Florence and Barcelona, have faced growing pressure from residents who argue that the expansion of holiday rentals is making housing increasingly unaffordable. Previous efforts to impose restrictions have frequently faced legal challenges from rental operators and tourism businesses, creating uncertainty over the rules.
Under the proposed framework, cities, regions and other relevant authorities could limit access to short-term rental services, restrict their provision, or curb property purchases intended for short-term letting in areas experiencing significant housing pressure. Authorities would need to meet specified criteria to classify an area as under housing stress, including indicators that compare property prices with local incomes.
The proposed measures would not apply to homeowners who occasionally rent out their primary residences for short periods.
Housing affordability has become a growing concern across the EU’s 27 member states. According to figures cited by the European Commission, property prices have risen by 60% and rents by 20% over the past decade, putting increasing pressure on households seeking affordable accommodation.
The EU attributes the housing crisis primarily to an inadequate supply of homes, while acknowledging that short-term tourist rentals can intensify pressure in certain locations by reducing housing availability and contributing to higher prices. Rental platforms, however, have disputed how much short-term lets contribute to these trends.
An Airbnb spokesperson said Europe’s housing crisis requires structural solutions and emphasised that implementing the proposed legislation should prioritise increasing housing supply.
The proposed framework seeks to establish clearer conditions for local intervention while ensuring that restrictions remain consistent with EU single-market rules.
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