Industry Update
Press Release10 October 2019

Regulation Catches up with Innovation – The Case of Short-Term Rentals

share this article
1 min
United nations World Tourism Organization (WTO)

The World Tourism Organization (UNWTO) has published the first systematic overview of how both national governments and local authorities are addressing and managing new business models in the accommodation industry. The so-called "sharing economy" has experienced significant growth over recent years and is poised to outpace the growth of traditional accommodation. Drawing on case studies from around the world, "New Business Models in the Accommodation Industry" analyses existing rules and regulations for the sector.

Advertisements

Drawing on 21 global case studies, the new UNWTO report notes that most of the measures implemented refer to areas of 'fair competition' and 'consumer protection', specifically measures related to taxation and registration and permits In comparison, measures relating to 'planning and sustainability', are less commonplace. At the same time, the report highlights the challenges destinations face in implementing rules and regulations, with a lack of local capacity and a lack of clarity over whose responsibility it is to monitor and regulate short-term tourist accommodation.

Commenting, UNWTO Secretary-General Zurab Pololikashvili said: "There are significantly more regulations than we thought and it is encouraging to see destinations taking the initiative. However, many challenges remain, including the practical implementation of rules and regulations relating to the short-term tourist rental market. Good governance and effective cooperation between the public and private sectors are key to successfully meeting these challenges."

Case studies analysed for the "New Business Models in the Accommodation Industry" include European countries such as the Netherlands, Italy and Spain, which are home to some of the world's most popular cities for tourists, as well as countries in the Americas such as Mexico and from across Asia as is the case of Japan.

The report was produced with the support of the Secretariat of Tourism of Mexico.

Read the Executive Summary of New Business Models in the Accommodation Industry

About The World Tourism Organization (UNWTO)

The World Tourism Organization (UNWTO) is the United Nations specialized agency fostering tourism as a vehicle for equal, inclusive and sustainable development. Working with its Member States, international organizations and the private sector, UNWTO promotes safe and seamless travel for all. UNWTO also works to make tourism the foundation of trust and international cooperation and a central pillar of recovery. As part of the wider UN system, UNWTO is at the forefront of global efforts to achieve the 2030 Agenda for Sustainable Development, including through its ability to create decent jobs, promote equality and preserve natural and cultural heritage.

Follow UNWTO on Twitter, Instagram, Facebook and Linkedin.

Latest News
Advertisements