Regional English cities are suffering from the rise of short-term rental services like Airbnb

The Northern Quarter, Manchester, 2014. Image: Getty.

The short-term rental market has ballooned in recent years. According to the Residential Landlords Association, Airbnb listings in ten UK cities increased by almost 200 per cent between 2015 and 2017. And while attention has mainly focused on the problems this is causing in big cities such as London, or tourist hotspots such as Barcelona and Berlin, communities in England’s regional cities are also feeling the effects.

The growth of short-term rentals is closely tied to the broader financialisation of housing – that is, changes in the housing and financial markets, which turn housing into a commodity. These changes have opened the door for new investors to buy and develop more and more units, which in turn increases the scarcity of housing, prompts landlords to raise rent, threatens community bonds and stretches neighbourhood services.

The short-term rental sector is made up of two different business models. Serviced apartments are typically run by a single business, which offer a hotel experience for visitors in many city centres. Landlords can also rent out rooms or entire properties through sharing economy platforms such as Airbnb. By providing this service, Airbnb has given people a new means to earn money on their homes – sometimes without having to follow all the laws that apply to renting.

Growing trends

In 2016, the Association of Serviced Apartment Providers found that 86 per cent of serviced apartment units in Manchester were occupied throughout the year. Alongside other regional cities such as Liverpool and Bristol, Manchester is a key target for serviced apartment operators.

To find out exactly how short-term rentals are affecting regional cities such as Manchester, I undertook research to collect data on 22 serviced apartment schemes, containing 1,198 units across central Manchester and neighbouring Salford during 2017. The average starting price for a night in a serviced apartment was £99, and owners made an average monthly income of £2,563 per unit. The financial rewards of investing in serviced apartments clearly outweigh the returns on long-term rentals for residents, which yield around £850 per month.

Getting trendy: street art and cycles in Manchester’s Northern Quarter. Image: Kylaborg/Flickr/creative commons.

To find out about Airbnb, I used a 2016 survey by sector analysts AirDNA, which showed a total of 310 units advertised on Airbnb within central Manchester, and more than 1,500 across the city region. They noted a 70 per cent annual growth in the sector from the previous year. The average price per night for an entire property is £143, with the highest being £1,251.


Across the city, my research identified 357 properties, which had been taken out of the long-term rental market up to 2016, with many more expected over coming years. Indeed, real estate company Colliers recently reported that in 2017 there were more than 4,000 units being used for short-term rentals, in a city struggling to build affordable housing.

The 2016 data from AirDNA revealed 177 hosts operating Airbnb properties in central Manchester: 59 owned multiple properties and accounted for 62 per cent of all listed units. It is likely that many of these hosts are people who own multiple properties, or who set up small enterprise to use housing in central Manchester as a business.

And there are concerns that those properties taken out of the long-term rental market may not be operating with any licensing or planning permissions. A report by the All-Party Parliamentary Group for Tourism, Leisure and the Hospitality Industry – a group of MPs from Labour, Conservative and Liberal Democrat parties, who meet to discuss issues in the industry – raised concerns that sharing economy platforms do not check if hosts comply with gas and fire safety regulations before they let out their properties.

Neighbourhoods on the frontline

Serviced apartments, concentrated in the Northern Quarter. Image: Jonathan Silver/author provided.

Short-term rentals are clustering at certain locations across Manchester, especially the popular Northern Quarter, which has more than 150 Airbnb units alongside over 500 serviced apartments. This rapid growth is putting strain on local services, small businesses and potentially residents, and there’s a real risk that the people who made the neighbourhood a popular destination for visitors will be pushed out, as the area becomes a magnet for “party lets”, with antisocial behaviour and littering.

With more than 650 potential homes in a relatively small neighbourhood used for the short-term rental market, it’s hardly surprising that the character of the neighbourhood is rapidly changing, while fears grow that it is losing its soul.

Some cities have already weathered the first wave of negative impacts from short-term rentals – and are beginning to fight back. New laws have been put in place, to limit long-term damage to communities. In Paris and London, authorities introduced a cap for short-term rentals to 90 days per year. This helped to ensure that housing built for residents is not taken out of long-term rental markets and used solely as a business asset by owners.

Balconies in Barcelona. Image: mrci_/Flickr/creative commons.

Barcelona has introduced a range of measures, including fines for companies that advertise unlicensed units. Across the world, relatively small “tourist taxes” of £1 per night now include serviced apartments. Proceeds are invested back into cities, to support local services and address the disruptive impacts on neighbourhood life.

So far, English regional cities have been pretty slow to act. Manchester City Council does not yet have a policy to address the sector. Liverpool City Council has been more proactive, pushing for national regulations to force landlords to register short-term rental properties. It has also lobbied central government for the ability to limit rentals to 90 days – a planning tool currently only available in London.

Unless coordinated action is taken at local and national levels, the short-term rental market will make the housing crisis, which is gaining pace in England’s regional cities, even worse. Local communities and politicians need to come together quickly, and learn from cities that have already developed effective policies – before some neighbourhoods change irrevocably.

The Conversation

Jonathan Silver, Leverhulme ECR Fellow, University of Sheffield.

This article was originally published on The Conversation. Read the original article.

 
 
 
 

The IPPC report on the melting ice caps makes for terrifying reading

A Greeland iceberg, 2007. Image: Getty.

Earlier this year, the Intergovernmental Panel on Climate Change (IPCC) – the UN body responsible for communicating the science of climate breakdown – released its long-awaited Special Report on the Ocean and Cryosphere in a Changing Climate.

Based on almost 7,000 peer-reviewed research articles, the report is a cutting-edge crash course in how human-caused climate breakdown is changing our ice and oceans and what it means for humanity and the living planet. In a nutshell, the news isn’t good.

Cryosphere in decline

Most of us rarely come into contact with the cryosphere, but it is a critical part of our climate system. The term refers to the frozen parts of our planet – the great ice sheets of Greenland and Antarctica, the icebergs that break off and drift in the oceans, the glaciers on our high mountain ranges, our winter snow, the ice on lakes and the polar oceans, and the frozen ground in much of the Arctic landscape called permafrost.

The cryosphere is shrinking. Snow cover is reducing, glaciers and ice sheets are melting and permafrost is thawing. We’ve known this for most of my 25-year career, but the report highlights that melting is accelerating, with potentially disastrous consequences for humanity and marine and high mountain ecosystems.

At the moment, we’re on track to lose more than half of all the permafrost by the end of the century. Thousands of roads and buildings sit on this frozen soil – and their foundations are slowly transitioning to mud. Permafrost also stores almost twice the amount of carbon as is present in the atmosphere. While increased plant growth may be able to offset some of the release of carbon from newly thawed soils, much will be released to the atmosphere, significantly accelerating the pace of global heating.

Sea ice is declining rapidly, and an ice-free Arctic ocean will become a regular summer occurrence as things stand. Indigenous peoples who live in the Arctic are already having to change how they hunt and travel, and some coastal communities are already planning for relocation. Populations of seals, walruses, polar bears, whales and other mammals and sea birds who depend on the ice may crash if sea ice is regularly absent. And as water in its bright-white solid form is much more effective at reflecting heat from the sun, its rapid loss is also accelerating global heating.

Glaciers are also melting. If emissions continue on their current trajectory, smaller glaciers will shrink by more than 80 per cent by the end of the century. This retreat will place increasing strain on the hundreds of millions of people globally who rely on glaciers for water, agriculture, and power. Dangerous landslides, avalanches, rockfalls and floods will become increasingly normal in mountain areas.


Rising oceans, rising problems

All this melting ice means that sea levels are rising. While seas rose globally by around 15cm during the 20th century, they’re now rising more than twice as fast –- and this rate is accelerating.

Thanks to research from myself and others, we now better understand how Antarctica and Greenland’s ice sheets interact with the oceans. As a result, the latest report has upgraded its long-term estimates for how much sea level is expected to rise. Uncertainties still remain, but we’re headed for a rise of between 60 and 110cm by 2100.

Of course, sea level isn’t static. Intense rainfall and cyclones – themselves exacerbated by climate breakdown – can cause water to surge metres above the normal level. The IPCC’s report is very clear: these extreme storm surges we used to expect once per century will now be expected every year by mid-century. In addition to rapidly curbing emissions, we must invest millions to protect at-risk coastal and low-lying areas from flooding and loss of life.

Ocean ecosystems

Up to now, the ocean has taken up more than 90 per cent of the excess heat in the global climate system. Warming to date has already reduced the mixing between water layers and, as a consequence, has reduced the supply of oxygen and nutrients for marine life. By 2100 the ocean will take up five to seven times more heat than it has done in the past 50 years if we don’t change our emissions trajectory. Marine heatwaves are also projected to be more intense, last longer and occur 50 times more often. To top it off, the ocean is becoming more acidic as it continues to absorb a proportion of the carbon dioxide we emit.

Collectively, these pressures place marine life across the globe under unprecedented threat. Some species may move to new waters, but others less able to adapt will decline or even die out. This could cause major problems for communities that depend on local seafood. As it stands, coral reefs – beautiful ecosystems that support thousands of species – will be nearly totally wiped out by the end of the century.

Between the lines

While the document makes some striking statements, it is actually relatively conservative with its conclusions – perhaps because it had to be approved by the 195 nations that ratify the IPCC’s reports. Right now, I would expect that sea level rise and ice melt will occur faster than the report predicts. Ten years ago, I might have said the opposite. But the latest science is painting an increasingly grave picture for the future of our oceans and cryosphere – particularly if we carry on with “business as usual”.

The difference between 1.5°C and 2°C of heating is especially important for the icy poles, which warm much faster than the global average. At 1.5°C of warming, the probability of an ice-free September in the Arctic ocean is one in 100. But at 2°C, we’d expect to see this happening about one-third of the time. Rising sea levels, ocean warming and acidification, melting glaciers, and permafrost also will also happen faster – and with it, the risks to humanity and the living planet increase. It’s up to us and the leaders we choose to stem the rising tide of climate and ecological breakdown.

Mark Brandon, Professor of Polar Oceanography, The Open University.

This article is republished from The Conversation under a Creative Commons license. Read the original article.