First unlicensed short term let operator fined in the Capital

City Chambers
The City Chambers, Edinburgh

The first conviction against the operator of an unlicensed short term let (STL) has been secured in the capital.

The convicted owner of an unlicensed STL in the west of the city has received a £600 fine and was ordered to pay £500 compensation to the neighbour who raised the case with the Council. The operator was then reported to the Procurator Fiscal (PF) by the Council and PF started criminal proceedings. The neighbour reported the unlicensed property after experiencing repeated loud noise and disruption by guests, on one occasion witnessing 19 people staying at the unlicenced STL above them.

The successful case has further implications for the convicted property owner as it’s likely to affect any future licence applications by the same owner. To operate as a registered landlord or licence holder for a House of Multiple Occupation (HMO) or STL, you need to be a fit and proper person and any relevant convictions including operating an unlicenced STL are taken into consideration when this assessment is made.

Operating as an unregistered landlord or unlicenced HMO is an offence which carries a maximum fine of up to £50,000, while the maximum fine for operating an unlicensed STL is currently £2,500.

The Council has reported a further 12 cases of unlicensed STLs to the Procurator Fiscal which are pending.

Convener of the Regulatory Committee, Cllr Neil Ross, said:

Short term let regulation was introduced to help ensure holiday lets are safe and used appropriately. This conviction sends a clear message that operating without a licence is illegal. It also demonstrates that our enforcement team is effective and that a conviction will result in financial penalties.

This isn’t action that we want to take. We always try to resolve issues through advice and guidance in the first instance and where this approach doesn’t work, we gather the information required to take enforcement action. This can result in reporting offences to the Crown Office and Procurator Fiscal services, so I would urge all STL operators to make sure they have the right licence in place as we will continue to pursue all cases we have where necessary.

 

Background

As of March 2025 the Council received 5,441 Short Term Let licence applications, of which 4,654 have been granted. 

Published: October 24th 2025