British Columbia’s New Short Term Rental Rules Controversy.

What are the new short term rental regulations in BC and why are people concerned? People are asking “Why are there no air bnbs in British Columbia?”

On May 1st, 2024 most vacation rentals by owner ceased to exist in British Columbia due to the Short Term Rental Accommodations Act.

While it was welcomed that government took steps to get rid of illegal short term rentals, the controversy lies in the banning of legally zoned and licensed vacation rentals by owners. These had been operating for many years in BC and provided a welcome alternative to hotels, serving families, people needing extended medical stays, and other travel needs which hotels don’t serve.

In the summer of 2024, consumers saw exorbitant price increases at hotels in BC which are now in a virtual monopoly position.

The question is why the government did this. Some speculate that the government didn’t realize they were wiping out legally zoned and legally operating businesses while they tried to deal with the illegal short term rentals. 

Others believe that the government shut out the legal vacation rentals because of pressure from the BC Hotel Association. 

Looking at the statements from the government and the BC Hotel Association, this theory has become the most plausible. In a recent press conference, the Premier stated that this legislation shutting down vacation rentals by owners paves the way for hotels to build, stating that hotel industry advocates demanded this.

Further substantiating this,  the BC Hotel Association declared a victory. “We are thrilled that this legislation incorporates every recommendation that the BCHA has long championed,” said Ingrid Jarret, CEO of the BC Hotel Association. The BC Hotel Industry funded a disputed study which the BC NDP used to form the legislation. Further controversy arose when it was revealed that the study was falsely attributed to McGill University. Politicians used this as a trusted source of truth to form the legislation. The university has since distanced itself from the study and points out that it was done by a freelancer.

Consumer advocates are crying foul and pointing to the Uber vs Taxi analogy, in which the taxi industry fought against competition from the new sharing economy that Uber represents.

A group of affected legal vacation rental owners formed an association following the introduction of this legislation in October 2023 and filed a legal action to defend their rights and by extension, the rights of consumers against the  Government. The case is pending in the Supreme Court of BC.