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Louis Chua: Why are there no enforcement actions against online platforms offering illegal short-term accommodations in Singapore?

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SINGAPORE: Workers’ Party MP Louis Chua (Sengkang GRC) recently raised a question in Parliament about enforcing actions against online platforms offering illegal short-term accommodations in Singapore.

While the people who break the laws in Singapore regarding short-term accommodations are slapped with fines, Mr Chua wrote that learning that no enforcement actions had been taken against the platforms online that made these arrangements possible came as a surprise to him.

He compared this to the example of how retailers can be fined for selling cigarettes to minors.

Short-term stays shorter than three months for private property and six months for HDB flats are not allowed in Singapore.

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The Urban Redevelopment Authority (URA) has said that short-term rentals are illegal in Singapore due to people’s concerns over security and the loss of privacy for residents.

Residents surveyed by the URA also cited worries about peace and order, specifically loud noises in the night and property damage. Additionally, Mr Chua pointed out that short-term stays disrupt the hotel industry worldwide, not just in Singapore.

He mentioned that a man was fined S$1.4 million for running an illegal short-term rental business at 19 properties in November 2023. The properties were listed on Airbnb, Booking.com, HomeAway, and other platforms.

More recently, a woman was slapped last May with a S$175,000 fine for allowing short-term stays at three units for almost three years. She also advertised the flats on Airbnb.

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Earlier this month, Mr Chua asked the Minister for National Development infringements of the Planning Act 1998 relating to the letting out of short-term accommodation over the last five years.

He also asked for the total number and the amount of fines people have been given and if the platforms where such listings are posted are also fined.

Desmond Lee, the National Development Minister, answered that URA has imposed 64 composition fines and prosecuted 15 persons in relation to short-term stay violations.

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However, enforcement action has only been taken against the parties directly responsible for the misuse of the property and not the online platforms that list these accommodations.

“Nonetheless, URA regularly engages key online platforms to ensure that listings on their platforms do not perpetuate rental arrangements that run afoul of Singapore’s laws,” MND wrote, adding that the URA will continue to monitor the situation and review measures if necessary.

/TISG

Read also: WP’s Louis Chua explains why $1 is worth less in Singapore than elsewhere

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