Airbnb’s submission to SA Short Stay Accommodation Sector Inquiry

Airbnb’s submission to the South Australian Short Stay Accommodation Sector Inquiry demonstrates an ongoing commitment to work with the Government to build a fair and sustainable regulatory framework for the industry.

Airbnb recommends the South Australian Government implement regulations that already exist in other states, which are robust by global standards and include mandatory registration data sharing and a code of conduct.

This framework already exists in New South Wales where it has provided certainty and clarity for hosts, as well as the broader community around compliance, while the registration scheme has ensured the state government has the data it needs to accurately assess the footprint of the sector.

Airbnb’s recommendations support the ambitions of the South Australia 2030 Tourism Strategy of increasing visitor spend to $12.8-billion by 2030. 

With 80 percent of global travel on Airbnb booked by groups¹, short stay accommodation options will be critical in helping meet a core pillar of the Tourism Strategy to grow accommodation options, particularly for group travellers.

According to Oxford Economics, in the year to March 2023, guests on Airbnb spent over $710-million in South Australia, supporting 5,400 jobs and contributing $645-million to Gross State Product.

Airbnb continues to support balanced and evidence-based regulation of short-term rentals, and suggests a number of recommendations to improve the current framework to better address the current housing challenges including:

• Establishing a short-term rental accommodation registration scheme, bringing South Australia in line with New South Wales, Tasmania and Western Australia

• Linking a code of conduct to the registration scheme, so expectations are clear on hosts, guests, and the community. If South Australia were to follow the New South Wales’ model, then two serious breaches of the code could result in a guest or host being placed on an ‘Exclusion Register,’ which in New South Wales is managed by the Office of Fair Trading

• Setting up an industry roundtable with all relevant stakeholders, that meets quarterly, to ensure strong and clear communication channels between the sector and the Government. This roundtable could help steer the delivery and design of the registration scheme, and ensure strong host awareness, education, and compliance throughout the process

• If the Government considers additional regulation beyond the above recommendations, it is recommended that: a) industry is given appropriate time to provide feedback on the impact of any additional regulation, particularly on its host community; and b) a cost benefit analysis is completed to determine how it will impact the tourism industry

Michael Crosby, Airbnb Head of Public Policy for Australia and New Zealand, said: “Airbnb’s message is clear – we want to be a responsible partner to governments and communities to create fair and sensible rules for home sharing while helping support the tourism sector.

“South Australia and Adelaide need short-term stays to help support major events such as Fringe, Gather Round and LIV Golf with Airbnb helping provide accommodation to tens-of-thousands of visitors to the state each year for these major events.

“Additionally hosting is an economic lifeline for many amidst a cost of living crisis, with a recent study finding almost 40 percent of Aussie hosts say the money they earn from Airbnb has helped them make ends meet. 

“We understand governments continue to navigate unique, complex challenges – including housing affordability. We want to play a role in working with policymakers to introduce straightforward regulations that balance the benefits of home sharing with the needs of the wider community.

“Draconian measures such as caps or bans don’t work. In New York where short-term rentals have effectively been banned, rental and housing affordability has not improved and the cost of accommodation for travellers has increased.”

Read the full submission, here.

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