Publish date | 03 May 2019 |
Issue Number | 1780 |
Diary | Legalbrief eLaw |
The DA-run Western Cape says it will oppose any plans by the national government to regulate short-term home rentals – such as those on Airbnb – saying the move would kill tourism. ‘Over 2m people have made use of Airbnb alone in this country, and if regulations make it more difficult for travellers to access this kind of accommodation, they will simply vote with their wallets and go elsewhere,’ Western Cape Economic Opportunities MEC Beverley Schäfer said. ‘We cannot allow this to happen.’ Business Day reports tourism contributed R136.1bn, or about 2.9% of total GDP in 2017, according to government data. This increased to R412.5bn, or 8.9% of GDP, when ‘indirect and induced benefits’ across a very broad value chain were factored in. Homeowners using the online platform generated close to R5bn for the Western Cape economy in 2017, according to data from Airbnb. As reported in Legalbrief Today, the national government published the Tourism Amendment Bill for public comment in April. Should it be promulgated, short-term home rentals will be regulated under the Tourism Act and the Minister of Tourism could then specify various ‘thresholds’ in terms of Airbnb rentals in SA. This could include limiting the number of nights that guests can stay and how much money a host can earn. According to the Department of Tourism, this would level the playing field by ensuring that ‘everyone gets their fair share’, notes the Business Day report. The Federated Hospitality Association of SA argues that unregistered accommodation establishments marketed via Airbnb should be under the same regulations applied to the official tourism sector.