Backlash on proposed Canary Islands rental laws

ASCAV, the Canarian holiday rental owners’ association, claims that the Spanish Government’s new “one-stop shop” holiday rental law will remove 90% of small private owners from the market and concentrate tourist activity in the hands of large asset holders, investment funds and big hotel owners.

ASCAV, along with other Spanish rental owners groups, also claims that the proposed 21% VAT rate on holiday rentals (which will not apply on the Canaries) is “absolutely discriminatory”. A letter-writing campaign to the government has resulted in thousands of complaints.

The associations claim the new law, which requires owners to register with the national land registry, contravenes EU law, as they already have to register with regional administrations.

They claim that registration costs could reach €3,000, acting as a severe deterrent to smaller rental owners.