The Short-Term Rental Setup Checklist For Holiday Homes

confirm local short-term let licensing requirements

check mortgage lender consent for letting

review leasehold and freehold restrictions

apply for local short-term let licence where required; under the relevant licensing scheme, licences for short-term lets are generally valid for up to three years before you receive guests

register property with the local council or local authorities if needed, as they handle the key differences in legal requirements, checks on accommodation, and mandatory conditions for paying guests

confirm the property meets repairing and tolerable safety standards before submitting a licence application

note that planning permission may be needed when letting the whole property, depending on the local council area

get an Energy Performance Certificate for entire properties used as accommodation to help keep the setup legally compliant

retain licence documents and renewal dates

purchase holiday home insurance covering lettings, as standard homeowner's insurance may not cover short term lets and specialist cover is usually needed for Airbnb or uk holiday use

add public liability insurance for guest incidents, with at least £2 million cover recommended for holiday home owners

include accidental damage cover in policy

check whether loss of rent cover applies after an insured event

confirm insurer accepts short-term holiday lets, including malicious damage, and check policy exclusions for personal possessions or whether the property is your main home

determine council tax versus business rates status, as properties let over 140 days may qualify for business rates instead of council tax

if a property is treated as a second home, it may face a council tax premium, so check what you need to pay locally

apply for Small Business Rate Relief if eligible, as it can reduce business rates by up to 100%

register rental income with HMRC and review recent rule changes, including the end of the furnished holiday tax regime, as the new tax regime now aligns more closely with normal rental income rules

retain financial records for tax returns

factor in ongoing cost, with average holiday let owners investing about £7,400 a year in maintenance

perform a written health and safety risk assessment to identify potential risks across the accommodation

implement actions from the risk assessment as part of core safety measures and good practice

assess legionella risk in the accommodation to stay legally compliant

provide visible guest safety information, with further information available from HSE-style guidance if you need practical detail

complete a fire risk assessment for the property

install smoke alarms in all required areas

install carbon monoxide alarms where required

test all alarms monthly and after maintenance

provide a clear fire evacuation plan onsite

order an Electrical Installation Condition Report (EICR) for fixed electrical installations, and check fixed installations are safe and well maintained

PAT test portable appliances regularly as good practice, even where not always mandatory

install RCD protection on circuits where needed

obtain annual gas safety certificate if gas present, as holiday lets must comply with the Gas Safety (Installation and Use) Regulations 1998

service gas appliances annually by Gas Safe engineer

install mandated ventilation for fuel-burning appliances

furnish property to target guest expectations, ensuring it is fully furnished for the intended guest type

create a detailed inventory with photos, including stocked kitchens, linens, toiletries, and appliances

list essential pantry and starter items for guests

where targeting families, include a high chair

document receipts for furnishings for insurance

add accidental damage cover to insurance policy

collect a security deposit from guests

provide clear, posted house rules on damages, for example broken furniture caused by unsafe use

set up booking calendar with minimum-stay rules

draft concise check-in and check-out instructions

contract cleaning and linen providers

prepare an emergency contact sheet for guests

conduct separate risk assessments for hot tubs

install childproof barriers around pools where needed

keep maintenance and water quality logs up to date

display emergency contact numbers prominently

display the fire evacuation plan for guests

keep gas safety and electrical certificates onsite

audit this checklist quarterly for compliance

update procedures after regulatory changes

review insurance cover annually

train staff and cleaners on safety protocols