Local TD Highlights Success Of Shillelagh Tourist Pods Amid Fury At Short-Term Rentals Bill

Proposed new regulations surrounding the housing crisis and short-term lets could deter investment and damage rural businesses and wipe out tourism according to tourist advocates and operators

Fine Gael TD for Wicklow–Wexford, Brian Brennan, has urged the Government to strike a balanced approach when legislating for short-term lets, warning that rural tourism must not suffer as a result of measures aimed at addressing the housing crisis.

Tourism groups say Ireland’s proposed short-term rentals law is enforceable but unworkable, risking shutting down rural and heritage tourism

They cite complex rules, high compliance costs, and unrealistic timelines, with many properties unable to meet modern planning and building standards.

Ireland’s new short-term rentals bill requires anyone renting out accommodation for up to 21 nights to register with Fáilte Ireland and prove that their property complies with planning and building regulations.

Every listing on platforms like Airbnb or Booking.com must display a valid registration number, and platforms must report rental activity to the authorities.

The law gives hosts a deadline to get planning permission, but many tourism operators and rural property owners say this is unworkable.

Planning departments are not prepared for the volume of applications, and properties such as thatched cottages, shepherd huts, and heritage homes may never meet modern building standards.

'Quirky'

Many of these properties are “quirky” or historic and cannot be converted into long-term housing, so forcing compliance could remove them from Ireland’s tourist accommodation stock permanently.

Tourism groups are warning that the bill will heavily impact rural tourism, heritage properties, and small businesses. They are calling for exemptions or a new property category for short-term rentals that cannot meet current standards, arguing that without these measures, valuable tourism assets and local employment could be lost.

In essence, operators must register and prove compliance, but for many this will require costly upgrades, planning applications, or structural changes, threatening the viability of a large part of Ireland’s short-term rental sector, especially in rural and historic areas.

Wicklow-Wexford Fine Gael TD Brian Brennan

Speaking at the Joint Committee on Enterprise, Tourism and Employment, Deputy Brennan said:

“Rural tourism should not suffer at the detriment of the housing crisis. I come from a tourism background, and I know what rural tourism is doing for rural Ireland. Short-term letting is a very key part of that.

“We look at employment — people making beds, cutting grass, restoring heritage buildings, local suppliers coming in — I’ve seen it all first-hand. But the key point for me is what it gives back to the local economy. It’s absolutely huge.”

Brennan highlighted the positive impact of tourism accommodation in small villages, citing a recent visit to Shillelagh.

“I was in the village of Shillelagh on Monday visiting a school. I stopped at the local shop and met people staying in pods that had been installed by the local pub over the last couple of years.

“They thought outside the box, and the impact on the village has been massive. The shop owner said what the Kenny family has done has been a blessing, particularly during the winter months, by bringing tourists and the spending that comes with them.”

Brennan also warned that uncertainty around new regulations could deter investment and damage rural businesses.

“We don’t yet know what the cost of these regulations will be for businesses adapting to new requirements. I keep going back to hotels and short-term lets — if we lose them from our towns and villages, it’s only then that we will realise the damage done to local tourism. That uncertainty seriously concerns me.”