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There’s Legislation for Owners of Holiday Homes

December 8, 2020 by Grant Leave a Comment

If you own a second home and are planning to set it up as a holiday home for rent, your thoughts might be on the things you can add to the home to make it more appealing. Although this aspect is exciting and important, you should know the laws that regulate owners of holiday homes in the UK. These regulations are basic, and you can use them as a starting point. They are meant to protect you, your property and your guests.

Different rules for holiday lets and long-term rentals

The legislation concerning long-term rental properties and Furnished Holiday Lets (FHL) are the same, but there are some differences. Holiday letting contracts require guests to leave the holiday house at the end of their holiday stay.

Different tax laws cover a Furnished Holiday Let since it is classified as a business, and the owner is required to pay income tax for the rental income. You will pay a business tax instead of council tax. The Valuation Office will work out the rate based on type, quality, size, location, and your projected income.

Qualification

Your home can qualify as a Furnished Holiday Let if it is let commercially to the public for a minimum of 105 days every tax year, and the home is available to let for 210 days annually. A single letting should not go beyond 31 days (continuous).

After you have made the additions to your holiday home, you do not have to find clients yourself. Visit www.thewowhousecompany.com to know how they can help you find the guests for your holiday home.

Additional obligations

Aside from regulations, there are other obligations you should meet regarding utilities.

  • Gas. Your gas appliances are covered by the Gas Safety (Installation and Use) Regulations 1998. You should have a registered engineer to do an annual gas safety check on each gas appliance you have in the holiday home.
  • Electricity. All the electrical equipment you use for the business should meet the requirements of the Electrical Equipment (Safety) Regulations 1994. Covered by the regulations are your guests, contractors and employees in the property. You should likewise undergo Portable Appliance Testing (PAT) regularly.
  • Carbon Monoxide. Under England’s Smoke and Carbon Monoxide Alarm Regulations of 2015, each room where there are appliances that use oil or gas, such as gas appliances, open fire or log burner, boiler or oven should have a carbon monoxide detector.
  • Oil. If your holiday home is in a secluded location and uses oil for fuel, ensure that your appliances pass the OFTEC CD/12 Landlord Oil Installation Check conducted by a qualified person.
  • Fire. You are obligated to have a fire risk assessment, according to the requirements of the 2006 Regulatory Reform (Fire Safety) Order (England and Wales) and similar regulations in Northern Ireland and Scotland. In England, you are legally required to install a smoke alarm in every room.
  • Furniture. The upholstered furniture in your holiday home should meet the requirements of The Furniture and Furnishings (Fire) (Safety) Regulations 1988 regarding fire resistance.

These are the basic regulations you need to know. Aside from these, you should ensure that your home is accessible to people with disabilities. Moreover, it is the property owner’s responsibility to ensure that you maintain general safety to protect your home, your guests and yourself.

To read more on topics like this, check out the Traveling category

Filed Under: Traveling

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Hello, I am Grant, the owner of Voice Originals. I am originally from Germany, but I came to study in the United States when I was 17.  I have studied business and marketing. I have an interest in TECH and FINANCE when it comes to business. Read More…

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Hello, I am Grant, the owner of Voice Originals. I am originally from Germany, but I came to study in the United States when I was 17.  I have studied business and marketing. I have an interest in TECH and FINANCE when it comes to business.

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