‘Lochaber has significantly higher short term let properties than the Highland wide average and demonstrates justification for a review to assist with the Highland Housing Challenge.’
Following a detailed review of current housing data and short term let (STL) activity, the Lochaber Area Committee unanimously agreed that there is justification for consulting on the introduction a Short Term Let Control Area in Lochaber. While all STLs already require a license, a Short Term Let Control Area once in force would mean that any future change of use of a dwellinghouse to a STL would always require planning permission. A Short Term Let Control Area is not applied retrospectively and would not by itself require existing STLs in Lochaber to obtain planning permission. It would therefore only apply to any future changes of use after the Short Term Let Control Area comes into force.
The progress of designating a Short Term Let Control Area requires the Council to follow a statutory process prescribed by The Town and Country Planning (Short-term Let Control Areas) (Scotland) Regulations 2021 which commences with undertaking notification and a consultation of the proposal. This should include a map of the area covered by the proposal and a statement of reasons for proposing to designate the control area. After the consultation, the planning authority can modify the proposal to take account of representations made during the consultation but cannot include additional areas which were not originally included without further consultation.
Recent findings from the ongoing Highland Housing Need and Demand Assessment (HNDA) show that the average house price in Lochaber is £227,667 (around £18,500 higher than the Highland average). To afford this, households would need an annual income of approximately £60,474. For first-time buyers, entry-level properties cost around £140,000, yet 46% of residents cannot meet this threshold, which requires a household income of £37,187. These figures underline the significant challenge of housing affordability in Lochaber, where 39% of homes sold in the area are purchased by people from elsewhere in Scotland, the UK, and beyond.
Lochaber Area Committee Chair, Cllr Kate Willis said: “The Committee welcomes the clear evidence basis this report provides about the reality of short term lets in Lochaber. Tourism is a vital part of the Lochaber economy, supporting both seasonal and full-time employment. However, the committee noted that almost 10% of homes in the area are used for short-term lets which is double the Highland average, a further 5% are empty homes and 4% second homes. Almost a quarter of currently available housing stock could be contributing to housing pressures and recruitment challenges in Lochaber. Members agreed that it’s important to carefully consider the introduction of a short-term let control area in key locations most affected, while still weighing up the wider economic benefits that tourism brings to Lochaber, and to ensure community input through the consultation process.”
The report assesses the prevalence of Short-Term Lets (STLs) in Lochaber and their impact on housing availability. Key findings include:
- Higher STL Rates - Lochaber has a greater proportion of dwellings used as STLs compared to Highland overall, with concentrations in Kinlochleven and Invergarry.
- Rapid Growth - Fort William shows the fastest increase in STLs, exceeding the Highland average.
- New-Build Conversions - 7.0–7.3% of new-build completions in Lochaber are converted to STLs, compared to 5% across Highland.
- Housing Market Pressure - Lochaber’s housing markets are less affordable, relatively uncontained, and show higher sales to buyers from outside the area.
- Community Concerns - Three Local Place Plans and one Area Place Plan highlight local concerns, supported by realistic evidence.
- These trends indicate growing pressure on housing availability and affordability in Lochaber, driven by STL growth and external demand.
The full report can be found here (Item 5).