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Thanks, Andy. I suppose that it comes back to local authorities having flexibility on that. I understand why some stakeholders have raised the point, but it is important that local authorities have that flexibility. We have already met the ASSC to speak about those specific points, and Ivan McKee, who is recently in post, and I will meet the ASSC again to discuss this and any other specific issues that it might have.

There are a number of things there, Mr Griffin. One question is whether we decide to go down the legislative route for the other issues that have been raised. Something might require an SSI or guidelines, and we will continue to discuss that. We have brought forward what we have brought forward to try to address all the key issues that were raised when I was in committee and between when we brought the scheme and where we are now.

We will continue to look at the evidence in the figures for short-term lets and the accommodation in the sector. I know that anecdotal statements have been made, but I will continue to engage with the expert group on the evidence that comes through. If I need to, I will introduce legislation or guidelines at a time when I think that it would be relevant to support the sector on that. I have made it clear that I am happy to engage with the committee at any time on what is being brought forward, whether that is through correspondence or whatever.

The approach is very much one of continuing the discussions. The establishment of the expert group indicates that we are really willing to do that. The engagement that I have had will continue, even beyond the transitional phase.

It would be difficult to put a timeline on it as such, but if we collectively feel that we need to introduce amended guidance or legislation, that will be done at the time that I think it would be relevant to do that.

Why we are bringing these things forward now is one of the key questions that have been asked. There are different opinions in the sector about what is important. The STA, as I mentioned, thinks that the measures strike the right balance, but it is an on-going dialogue. I think that they have struck the right balance.

Yes. Pretty early on, we had feedback from the sector about what the transfer scheme would look like. It would have been a relatively straightforward process, but the feedback suggested that we should make it simpler and more flexible, so that if someone wanted to transfer a licence to a family member or anybody else, they could do that. Jess Niven noted that if a licence was being transferred and there were little or no changes, the process should be pretty straightforward. Obviously, if there had been a material change, as with planning, there would need to be an updated description to ensure that the safety of the premises was not affected. Jess, do you want to add anything on that?

I can take that away and follow it up with you later. I know that we have had feedback on the issue. There might be issues around how easy it is to monitor what is happening with a new-build property compared with a building that is undergoing a conversion. Jessica Niven might be able to give you more information.

I apologise for not being in the room. After coughing and spluttering my way through some statements last week, I tested positive for Covid on Thursday, and I have still not recovered. I thank the committee for being so accommodating—it is much appreciated.

I am grateful to have the opportunity to speak to the draft Civic Government (Scotland) Act 1982 (Licensing of Short-term Lets) Amendment Order 2024. Legislation to establish a licensing scheme for short-term lets was approved by the Parliament in January 2022, and the scheme opened in October 2022. The scheme delivers a set of basic safety standards to protect guests, hosts and communities and guarantee high-quality accommodation across Scotland. Those core principles have underpinned our approach, and we have consulted extensively and worked with a range of stakeholders on the scheme’s early implementation.

When the then Cabinet Secretary for Social Justice, Housing and Local Government appeared before the committee in February 2023, the committee made it clear that the Government should use the available time to respond to concerns that had been expressed about the operation of the licensing scheme. I am therefore pleased to have the opportunity to speak to the draft order, which reflects operational adjustments that have been made to the scheme as a direct result of feedback from a range of stakeholders.

The development of the proposed statutory amendment is by no means the only action that we have been taking to continue to refine and improve the licensing scheme. I know that some groups in the sector have shared with the committee evidence that reflects their perspectives on the scheme, and which encourages us to go further. We will continue to work with and listen to stakeholders. I am pleased to inform the committee that, in addition to the regular engagement that we have, we are formalising an expert group to further refine guidance, taking into account the feedback that has been received since the scheme was launched.

The provisions in the amendment order offer technical clarifications and operational improvements for businesses. In bringing forward the proposed amendments, we are conscious that implementation of the scheme is still in a transitional period, in which thousands of operators have recently taken action to comply with the legislation, and that authorities are still processing applications for existing hosts, so any action must be proceeded with in a measured way. That approach has been endorsed publicly by many in the sector.

I turn to the order itself. We are making it more straightforward for short-term let operators to transfer their businesses to a new operator. That aligns with our commitment in the new deal for business. We are also ensuring that new short-term let enterprises can apply for provisional licences, as we listened to and acted on feedback that indicated that securing lending in industries such as agritourism was challenging.

We have reflected the feedback that we received on the operation of exemptions to short-term let licences by clarifying the periods in which that provision may apply. That will ensure that local authorities can apply flexibilities for key sporting and seasonal events that can heighten demand for accommodation, while still having regard for health and safety.

We are also taking the opportunity to make some minor changes to the provisions relating to guest rooms in certain types of residential accommodation and the provisions that require safety information to be provided to guests. The latter change has been made in response to a fatal accident inquiry into a case that involved short-term accommodation.

The approach that is being taken aligns with our commitment to supporting businesses and with the Verity house agreement. It will ensure that the high-quality accommodation that visitors expect in Scotland is maintained, and it prioritises the importance of doing business. I therefore ask the committee to support the draft order.

I will bring in Jess Niven again on that point. My understanding is that the conditions should stay the same in the transfer process unless any specific issue is raised. There is the element of making sure that, when the application is first dealt with, it reflects everything accurately. As part of the transfer process, the conditions should remain the same unless any specific new information comes to light and there have been specific changes. The important point is that it very much depends on individual circumstances.

I have not been made aware of those things in any correspondence or any discussions that I have had, so I ask Jess Niven to come in on that.

My understanding is that they can take bookings only when the full licence is granted, but I might be wrong. Craig McGuffie can give you more information on that.

Again, there are a number of things to look at. I will come back to the specific Edinburgh issue. First, there is a broader discussion, which is perhaps not for this committee, about the size of Edinburgh and how much accommodation it can take. I suppose that that is a question for the City of Edinburgh Council to pick up.

The issues are not just for Edinburgh, although the Edinburgh festival highlights the point; other local authorities have events that require accommodation. We looked at the period of time and tried to find a balance. After speaking to the festival and fringe, and to local groups, we felt that the six weeks’ exemption was felt to be inflexible, in some ways, and too restrictive. Again, we wanted to try to provide flexibility, given the number of events. The festival itself goes on for around four weeks, and there are other events that are held in Edinburgh, such as Hogmanay and events as part of the Forever Edinburgh campaign.

In other parts of the country, it would depend on what events were being held. We were listening to feedback on that, and picking up on events that we were aware of, and some that we were not aware of. Again, it is up to each local authority to address the needs. We listened carefully to the festival and fringe, to the City of Edinburgh Council and to other stakeholders about what the picture can look like. We were trying to strike a balance to ensure that we can, if possible, accommodate the people who need to come in.

The key point is giving local authorities flexibility in that regard. That ensures that activity can take place throughout the year, and that we do not have to come back and deal with the issue every year.

To come back to the point about Edinburgh, we will pick up the key points around the festival and fringe, which I referred to, and ask the local authority and other stakeholders how they find the approach. In Edinburgh, that has to take place in the context of asking how big the festival and fringe should be, to accommodate what needs to happen. I know that the festival and fringe have been looking at trying to spread accommodation out, accommodating people not just in Edinburgh but in other parts of the Lothians. Again, we were very much listening to what stakeholders were saying, but it is an on-going process, so we will be looking for feedback not just on the issues in Edinburgh, but from stakeholders in other areas. We were listening to what stakeholders were telling us and were trying to strike a balance.

There are a number of points to make. As Jess Niven mentioned, Edinburgh has short-term let control areas. That is a planning issue. There is the licensing scheme, too. I know that Edinburgh has faced legal challenges and that it has amended its approach. Edinburgh’s approach was based on its interpretation of policy; it is not my job to tell the council how to interpret that.

That issue was specific to Edinburgh. However, I know that other areas are looking at adopting short-term let control areas. Consideration will be given to those interactions.

Some of the issues that have been raised have been particular to Edinburgh. That council felt that it needed to bring in short-term let control areas. That is a broader issue. It is not part of the licensing scheme. If a local authority decides to look at planning, that is about its interpretation of those aspects. It still comes back to local authorities acting within their own flexibilities in relation to the scheme, but some of the issues have been about the short-term let control areas. The Minister for Public Finance, Ivan McKee, who deals with planning, and I are meeting the ASSC again to pick up that point.

Planning law does not fall within the scope of the instrument. This is about how we interpret what the scheme is there for, which is for health and safety purposes. The broader issue has been discussed.

We have written to the ASSC on a couple of occasions to say that we do not agree with its interpretation of that, but we will continue to meet it. As I said, Ivan McKee and I have a meeting coming up with the organisation on that particular point. I know that that issue has been raised by other local authorities.

I do not know whether Jess Niven wants to come in on that. Actually, I will bring in Andy Kinnaird on that planning point.

A number of stakeholders would balance that view. For example, the STA welcomed the provisions and said that they are striking the right balance. There has to be a balance of opinions. I understand that the ASSC represents about 5 to 10 per cent of the sector. I have probably met Fiona Campbell more than I have met anybody else in past year or so, so I have listened. We do not always agree—Fiona and I would agree on that point—but there is a balance to be struck. The STA, which represents a number of short-term lets, has said that we struck the right balance, and it looks forward to continuing engagement. That is always going to be the case, whether it is ASSC or the STA.

The key thing will be the evidence on the impact that the amendment order will have on the tourism sector. We have seen an increase in short-term let accommodation and in visitor numbers for Scotland, which is encouraging.

Of course, we always listen to the ASSC, but we also listen to the STA and other stakeholders. There are different opinions on the issue, and that is why it is really important that we have an on-going dialogue. As I said, the STA welcomed the amendment order and thought that it was the right balance for the number of organisations that it represents. We have struck the right balance with the provisions that I have brought forward at this time, but I think that it is important that we continue to listen to the sector. I have done that all the way through, and I will continue to do it as we move ahead. It is the way I operate. Whether it be the cladding bill or the housing bill, I will be as collaborative as I possibly can be and listen to as many people as I possibly can.

There are different opinions within the sector, but that does not mean that any one opinion is more important than the others. They are all important, and that is why I will continue to engage with the committee and stakeholders as we move ahead, while making sure that what we are doing does not impact on the tourism figures that are coming through.

It is encouraging to see the number of visitors to Scotland in the past few quarters returning after Covid and in what is still a difficult time for tourism because of the on-going cost of living crisis. The tourism figures that are coming through are encouraging.

Fiona Campbell knows that I will continue to engage with her and the ASSC, as well as with the STA and other stakeholders, such as SOLAR, the industry advice group and the expert group that is being pulled together.