Welsh Government urged to address 182-day tourism rule

The 182-day letting threshold issue has been put in the spotlight again at Welsh Government, with one local politician stating that the matter can no longer be kicked into the ‘long grass’ - as it continues to affect tourism across Pembrokeshire, Carmarthenshire and Ceredigion.
This time, Ceredigion Penfro Senedd Member Paul Davies raised the topic in the chamber on June 2, urging the new Plaid Cymru Government to address the concerns.
More than a quarter of holiday let businesses in Wales have ceased trading over the past year, following the introduction of the 182-day letting threshold, according to data recently revealed by the Valuation Office Agency.
In Pembrokeshire alone, 35% of holiday lets have disappeared over the past two years.
Welsh Conservatives member Paul Davies remarked: “I've again raised the issue of the 182-day threshold with the Welsh Government, asking for a statement from the Cabinet Minister detailing the timescales involved in reviewing this policy.
“This issue cannot be kicked into the long grass - it's putting huge pressure on tourism operators and could threaten the sustainability of some of these businesses.
“The tourism industry needs the Welsh Government to adopt a common-sense, business-friendly approach that genuinely recognises the value of the sector to our local communities and works with it to see it thrive in the future.”
Between 2023 and 2025, England saw a 9% reduction in holiday lets, while Wales experienced a far steeper decline of 29%, highlighting the disproportionate impact the threshold has had on Welsh operators.
The regional impact is particularly stark. In Pembrokeshire, 35% of holiday lets (903) have disappeared over the past two years, while Carmarthenshire has lost over a third of its holiday lets in the last year alone.
These losses not only reduce visitor numbers but also have knock-on effects for local shops, restaurants, attractions, and service providers that rely on holidaymakers, threatening livelihoods across the region.
The decline of self-catering properties has a broader impact on Welsh communities, as many local residents and businesses rely on the work provided by the sector, with closures directly leading to lost jobs and reduced income for local trades, cleaners, and small businesses that depend on visitor spending.
In raising the matter at the Senedd once again, Mr Davies urged the Welsh Government to outline its plans for this policy area, so that the tourism industry can be clear about this policy and be clear that the Welsh Government will be taking action to address their concerns.
He stated: “This policy is having a significant impact on the tourism industry across Wales.
“The latest annual owner survey conducted by the Professional Association of Self-Caterers UK indicated that the vacancy threshold remains the primary concern amongst operators.”
©Senedd TV