An academic wants greater regulation of Airbnb and other short-let platforms because of the damage they are alleged to be making to the housing market.
Dr Luke Yates from The University of Manchester says platforms like Airbnb – and Uber, in the world of personal transport – have transformed the way we work and live, but some of their impacts have been damaging – especially when it comes to housing and jobs.
In a new book he claims Airbnb has contributed to a shortage of housing – as more homes are used for short-term rentals, fewer are available for people looking for permanent housing.
And he adds that gig economy platforms including Uber and Deliveroo have also made jobs less secure – most of their workers don’t receive the same benefits or protections as regular employees.
In particular, the book explores the extensive and controversial ways in which digital platforms have lobbied to avoid regulation and protect their advantages. He says these have included opaque approaches known as ‘corporate grassroots lobbying’, where platforms mobilise their users and allies against legislative proposals.
He goes on to claim that this type of lobbying is becoming more common, posing a threat to democratic processes.
To address these issues, the book proposes several urgent changes that the government should make:
Create a Lobbying Register: Platform companies often lobby the government in secret, making it difficult to regulate them properly. Yates calls for a mandatory register of lobbying to ensure transparency and fair governance;
Protect Housing and Workers’ Rights: He also recommends that the government give local councils the power to prevent more houses from being turned into short-term lets. Additionally, stronger laws are needed to protect workers in the gig economy and ensure their rights are upheld;
Implement Short-Term Letting Rules: Although the UK government has started looking into regulating short-term lets, Yates stresses that this process must not be delayed. Without stronger rules, more homes will be lost to platforms like Airbnb, making it harder for people to find affordable housing.
He says companies like Airbnb and Uber often start operating in cities “without permission”, quickly expanding and attracting users. Once the government tries to regulate them, these companies use tactics like lobbying to slow down or change the laws. They even mobilise their users to fight against regulation, making it seem like it’s the public pushing back when it is actually the companies themselves.
“As the digital economy continues to evolve, it’s crucial that policymakers take the necessary steps to protect the public from the growing negative effects of platform businesses. The government needs to create more transparent lobbying rules, protect housing, and ensure workers’ rights are not eroded by these rapidly expanding businesses” says the academic.
