Short-term Rentals (STR) Pressure in London, UK

<p>This report examines data and statistical analyses of short-term rental (STR) dynamics, drawing on the Inside Airbnb and housing statistics datasets.&nbsp; It provides an assessment of the market structure, spatial concentration, stress index and regulatory implications for Airbnb in London. Airbnb spatial pattern presents unequal concentration and aggregation in Central London, especially in Westminster Borough, where strong professionalisation trends are evident. Some professional Airbnb hosts manage close to 500 listings (based on June 2025 data), indicating a shift away from Airbnb’s claim of being a “peer-to-peer market” toward a high proportion of the “business-to-consumer market” in London. The report also evaluates the relationship between Airbnb and vacant houses and second homes. Given Westminster’s consistent presence as an area with the highest Airbnb pressure, this report provides more detailed insights using Westminster Borough as a case study. Lastly, a review of Florence’s licensing scheme is presented as a regulatory precedent for managing STR pressures.</p>