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As demand for staycation rental properties in the UK continues to increase, and at a time when it has never been easier to set yourself up online as a holiday rental "host", you may be considering setting up a holiday rental business. However, there are some important things to consider before embarking on this journey.  

Right to rent 

The Right to Rent scheme requires landlords to carry out background checks to ensure that their tenants have the legal right to rent property in the UK. If a landlord is caught renting to illegal tenants without completing Right to Rent checks, they could face a large fine, so it’s important to be aware of this legislation.


If you take a deposit for damages ensure a written agreement is put in place confirming how you wish the deposit to be paid, the circumstances under which you will retain some or all of the money, and how and when the deposit monies will be returned, otherwise this can lead to issues further down the line.

Health & safety

It is a legal requirement as a landlord of a holiday rental to carry out an annual gas safety check by a registered engineer on every gas appliance in the property, and to keep a record of such inspections. It is also a requirement to fit a carbon monoxide detector in all rooms containing a log burner or open fire.

Whilst there is no legal requirement to have the electrics in a holiday rental inspected annually, landlords do have a duty of care to ensure the electrics are safe and so in order to show compliance with this duty, it is advisable to carry out regular checks and keep records of such inspections.

A landlord will need to undertake a fire risk assessment and continue to monitor fire safety at the property, including ensuring all of the furniture at the property is compliant with the regulations and that it meets the set fire resistance standard.

Holiday let v long term rental

It is important to note that the legislation around furnished holiday lets and long-term rental properties is different. To qualify as a furnished holiday letting the property must be available to rent for at least 210 days of the year, rented out for at least 105 days and must not be let to the same person for longer than 31 days. These time constraints are particularly key when considering the tax reliefs that might be available to a furnished holiday rental business.

This list is not exhaustive and we would suggest obtaining specialist advice before setting up your holiday rental business. If you need further advice or want to if you wish to speak to a member of the team please do not hesitate to get in touch with our expert team.