A cap which will limit UK Airbnb rentals to 90 nights per year is reported to cost the accommodation listing site more than $US400 million ($555 million) in London bookings, according to new research.
Almost half of Airbnb nights booked in London would be threatened by the 90-day cap, according to data from accommodation search engine AllTheRooms, reports the Independent.com.
The 90-day limit is already technically in force but, up until now, booking platforms have said it is the responsibility of property owners to adhere to it.
Analysis from AllTheRooms says some bookings would simply move to different properties on the platform but many would look elsewhere. It is estimated that the end result will be a drop in London bookings of one third for Airbnb.
The search engine says it predicts that London reservations will rise from $US 600m in 2016 to around $812m in 2017. Without the rule change it foresaw a jump to $1.24bn.
An Airbnb spokesman said the cap wouldn’t affect travelers’ ability to find accommodation through the platform.
“Availability in London is not an issue. We are confident that there is a large range of unique homes for guests to choose,” the spokesperson said.
