Brussels to open door to curbing Airbnb and second homes in bid to ease housing burden

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Published: 2026-09-03T10:59:49.094Z • Permanent link

Regulatory scrutiny is intensifying on the short-term rental market, as Brussels prepares to clarify its stance on the issue. The European Commission is set to issue guidance on when and how national authorities can restrict short-term rentals in areas under pressure, following a series of high-profile investigations into the sector. The push for greater oversight is driven in part by concerns over the impact of short-term rentals on housing affordability, with many cities struggling to cope with the influx of new listings.

Industry insiders point to a growing recognition that the short-term rental market is not always a panacea for housing shortages. Data from platforms such as Airbnb has shown that the sector can exacerbate existing problems, particularly in areas where there is already a shortage of long-term rentals. In London, for example, a report by the Mayor's Office for Policing and Crime found that short-term rentals had increased by 400% in the past decade, while the number of long-term rentals had decreased by 20%. This has led to calls for greater regulation, with some arguing that the current system is failing to protect tenants and perpetuate inequality.

The European Commission's plans are expected to build on these concerns, with a focus on creating a more level playing field for traditional long-term rentals. The guidance is likely to emphasize the need for local authorities to assess the impact of short-term rentals on the local housing market, and to develop targeted policies to mitigate any negative effects. The move is seen as a major development in the ongoing debate over the role of short-term rentals in the EU, with some arguing that the sector has the potential to provide much-needed relief for homeowners who wish to monetize their properties.

The Commission's plans are set to have a significant impact on companies such as Airbnb, which has faced criticism for its lack of transparency and regulatory oversight. The platform has argued that its business model is designed to provide a service to hosts, but critics argue that it has created a new class of landlords who are profiting from the housing shortage. The guidance is likely to lead to increased pressure on companies such as Airbnb to develop more sustainable business models, and to invest in initiatives that support the development of long-term rentals.

Researchers in the field of housing policy are also likely to be closely watching the Commission's plans, as they seek to better understand the impact of short-term rentals on local markets. The guidance is expected to provide a much-needed framework for policymakers, who have struggled to develop effective strategies to address the issue. The move is also seen as a major development in the ongoing debate over the role of data and analytics in housing policy, with some arguing that the sector has the potential to provide new insights into the dynamics of the housing market.

The Commission's plans are part of a broader trend towards increased regulation of the short-term rental sector, which has been driven by concerns over housing affordability and sustainability. In the US, for example, cities such as New York and San Francisco have implemented strict regulations on short-term rentals, while in other parts of Europe, such as Germany and France, there have been calls for greater oversight. The issue is not unique to the EU, however, with many countries around the world struggling to cope with the impact of short-term rentals on their housing markets.