A new proposed bill could significantly impact how second homeowners use Airbnb-style platforms in Cornwall’s most sought-after destinations. In a bid to control the rapidly growing holiday let market, Members of Parliament have called for tougher regulations—specifically, laws that would require homeowners to obtain planning permission before converting residences into lucrative short-term rentals.

The move comes amid growing concerns about local housing shortages, community drift, and skyrocketing property prices, especially in rural and coastal towns popular with tourists. Cornwall, with its picturesque scenery and charming villages, has long been a magnet for second-home buyers and holidaymakers alike. But the growth of platforms like Airbnb has raised questions about the long-term sustainability for locals who are being priced out of their own communities.

Under the new proposal, second homeowners who wish to convert their properties into short-term holiday lets would need to apply for planning permission from the local council. This could mark a radical shift in the holiday rental landscape, particularly in Cornwall’s coastal hotspots like Saint Ives, Padstow, and Fowey.

The bill is being championed by Conservative MPs, including Steve Double, who represents St Austell and Newquay. Their main objective is to give local authorities the tools they need to manage housing supply and maintain sustainable communities.

It follows on the heels of similar initiatives, such as London’s 90-day Airbnb rule, which prevents owners from renting their homes on short-term platforms for more than 90 nights per year without specific permissions.

With more than 10,000 holiday lets operating in Cornwall alone—most of them listed on platforms like Airbnb and Vrbo—local leaders argue that they need stronger enforcement powers. As it stands, some homeowners are circumventing current guidelines, leading to unregulated expansion and frustration within local communities.

A report presented to Parliament highlighted the fact that a large concentration of short-let properties correlates with declining local rental stock. This drives up rent and reduces the availability of long-term housing for local families, key workers, and young professionals trying to stay in their home regions.

To address this, MPs are urging for region-specific control zones which could be rolled out across other rural tourism destinations. If passed, the bill could pave the way for tighter restrictions not just in Cornwall, but nationally.

The proposed bill would create a critical shift for property owners who rely on short-term lettings for supplemental income. Property investors who have capitalised on the boom in Airbnb-styled rentals may face new bureaucratic hurdles, particularly if their properties were not initially purchased as licensed holiday lets.

Property owners will now need to weigh their options: either apply for planning permission (with no guarantee of approval), convert their homes back to long-term rentals, or sell entirely. It’s likely we’ll see demand for professional Airbnb management services rise, as homeowners navigate more complex administrative and compliance duties.

For hosts looking to remain compliant and maximise income, understanding the local market dynamics has never been more important. Cities like Oxford have already seen changes due to short-let pressures. Learn more about maximising your Airbnb profits in Oxford.

This debate doesn’t exist in a vacuum. Across the UK, there’s growing scrutiny of how platforms like Airbnb are altering traditional rental ecosystems. Scotland has already introduced licensing schemes for short-term lets, while other regions are considering various compliance frameworks.

In major cities like London, the impact of Airbnb is being closely studied to understand how it shapes urban development and mobility. Read about how Airbnb management in London is shaping the future of tourism.

While tourism brings crucial revenue to areas like Cornwall, MPs warn that without balance, short-lets could permanently alter communities. Schools close due to declining child populations, high streets lose foot traffic, and neighbourhoods become seasonal rather than year-round.

The struggle between safeguarding local interests and sustaining a profitable tourist economy is ongoing. The proposed Cornwall legislation aims to strike this delicate balance: preserving community, while not dismantling the economic benefits of short-term tourism letting.

The question is not whether Airbnb contributes positively to tourism—it undoubtedly does—but how to ensure that it doesn’t come at the cost of community and housing equality. Airbnb hosts in the UK are increasingly encouraged to stay informed on tax and regulatory changes to future-proof their investments.

Whether you’re a host, investor, or a prospective buyer in the area, now is the time to monitor these developments closely. This bill could redefine the use of second homes across the UK and influence short-term rental strategies from the coast of Cornwall to the heart of Bristol.