The UK and Italy join major EU countries in tightening short-term rental rules, reshaping how people plan, book, and experience travel across Europe, especially during peak periods.
If you’ve ever relied on short-term rentals for space, flexibility, or affordability, you’re likely to feel these changes firsthand. What used to be a simple search-and-book process now requires more planning, more verification, and often a bigger budget. Across Europe, governments are sending a clear message, which is that housing for residents comes first.
Why Governments Are Acting Now
As the UK and Italy join major EU countries in tightening short-term rental rules, the primary driver is largely the same across the region: housing pressure. In many major cities, homes once occupied by locals have steadily turned into full-time tourist accommodations. This has driven up rents, reduced long-term housing supply, and pushed residents out of central neighbourhoods.
The European Commission has echoed these concerns, stating that unchecked short-term rentals “distort local housing markets and undermine community stability.” Several city mayors, including those of Paris and Amsterdam, have publicly described the situation as a “housing emergency,” not just a tourism issue.
Country-by-Country: What Travellers Need to Know
1. United Kingdom: London’s Longstanding 90-Night Cap
London has enforced an annual 90-night limit on short-term rentals for several years. Property owners who wish to rent beyond this threshold must apply for planning permission, a process that is rarely approved in residential neighbourhoods.
As the UK and Italy join major EU countries in tightening short-term rental rules, enforcement in London has noticeably intensified. Platforms are more actively monitored, non-compliant listings are removed faster, and availability during peak travel seasons has tightened. For travellers, this means fewer last-minute options and a growing need to book well in advance.
2. Italy: Florence Draws a Firm Line
Florence has taken one of Italy’s strongest positions by banning new registrations for short-term rentals in its historic city centre, a UNESCO World Heritage Site.
Italy’s Ministry of Tourism has publicly supported the policy, emphasising that historic cities should remain “living communities, not open-air hotels.” As a result, travellers planning to stay in central Florence should expect limited availability and higher prices, with better value often found just outside the historic core.
3. France: Paris Limits Growth to Protect Housing
Paris requires all short-term rentals to be formally registered and caps the number of nights per property at 120 per year. Dedicated enforcement teams actively monitor booking platforms and issue penalties for violations.
As the UK and Italy join major EU countries in tightening short-term rental rules, Paris has become an increasingly important reference point for cities seeking to reclaim housing stock while still accommodating tourism. For visitors, this has resulted in fewer budget listings and increased competition for legal rentals in central districts.
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4. Germany: Berlin Prioritises Residents Over Volume Tourism
Berlin enforces strict zoning laws and annual night limits of 60 to 90 nights, depending on the district. These policies have prompted many landlords to return to the long-term rental market.
City officials have consistently stated that housing “cannot be sacrificed for convenience tourism.” While this has eased pressure on residents, it has reduced the number of short-term options available to travellers, particularly during festivals, trade fairs, and summer travel peaks.
5. Netherlands: Amsterdam’s 30-Night Limit
Amsterdam enforces one of the strictest short-term rental caps in Europe, limiting rentals to just 30 nights per year. With the UK and Italy joining major EU countries in tightening short-term rental rules, Amsterdam demonstrates how aggressively cities are willing to act to protect residential neighbourhoods, even at the expense of tourism volume. Travellers should expect higher prices, limited availability, and strong competition for compliant listings.
6. Spain: Palma de Mallorca Bans Apartments
Palma de Mallorca has banned short-term rentals in apartment buildings, allowing them only in detached houses and villas. Local authorities argue that apartment bans are necessary to prevent entire residential buildings from being converted into tourist accommodation. For travellers, this means fewer centrally located options and a growing reliance on hotels or standalone properties.
7. Austria: Vienna’s Permit-Heavy Approach
Vienna restricts short-term rentals to 90 nights per year and often requires approval from building co-owners for extended stays, which can be difficult to obtain. As supply continues to shrink, prices have steadily increased, particularly during international conferences, cultural festivals, and holiday seasons.
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8. Portugal: Lisbon Freezes New Licenses
Lisbon has frozen the issuance of new short-term rental licenses across most urban neighbourhoods. While existing licenses remain valid, they are subject to review every five years. Portugal’s housing minister has described the freeze as “essential for restoring balance” in a market where tourism growth had begun to outpace residential housing needs. Travellers can still find short-term rentals, but availability in popular districts is increasingly limited.
9. Greece: Athens Moves Toward Tighter Restrictions
Starting January 2025, Athens will ban new short-term rental licenses in central areas and increase taxes on existing rentals. Athens is following a path already established by Paris and Amsterdam, prioritising housing stability over unchecked growth in tourist accommodation. Visitors should expect fewer options in historic neighbourhoods and higher prices for compliant stays.
What This Means for Travellers
As the UK and Italy join major EU countries in tightening short-term rental rules, travellers should expect noticeable changes when planning European trips, especially in major cities and popular destinations.
In practical terms, this means:
- Fewer legal short-term rental options, particularly in central neighbourhoods
- Higher nightly rates in high-demand cities due to reduced supply
- Greater importance of booking early, especially during peak seasons and major events
- Increased responsibility to verify listings, ensuring accommodations are correctly registered and compliant
- A growing appeal of alternatives, such as hotels, serviced apartments, and stays in suburban or less tourist-heavy areas.
Travel remains open, but flexibility, planning, and making early decisions now play a significantly larger role. For many travellers, spontaneity comes with a higher price tag than it once did.
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Frequently Asked Questions (FAQs)
Are short-term rentals being banned across Europe?
No. Short-term rentals are not being banned outright. Instead, governments are limiting and regulating them to protect housing availability for residents.
Can tourists still use Airbnb and similar platforms?
Yes. These platforms remain legal, but the number of available listings is lower, and rules vary significantly by city.
Will accommodation prices continue to rise?
In high-demand cities, reduced supply combined with steady tourism demand is likely to keep prices elevated, especially during peak travel periods.
Do these rules affect existing bookings?
Most existing bookings are not affected. However, listings that fail to comply with local laws may be removed, sometimes with little notice.
Do the EU or individual countries drive these changes?
Both. Local and national governments set specific rules, while the EU is introducing shared registration and data standards to support cross-border enforcement.
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Europe is redefining how tourism and housing coexist, and these policies aim to protect communities, preserve culture, and stabilise housing markets, while also changing how travellers plan their stays.
The takeaway is simple: book earlier, verify legality, stay flexible, and expect higher prices in popular destinations. Travellers who adapt will still enjoy Europe, just with a little more planning than before.
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