Thailand to curb illegal rentals with new booking regulations
State agencies are being encouraged to collaborate with online accommodation booking platforms to create a system ensuring that only legally registered hotels and accommodation providers can accept online reservations.
This initiative is driven by the House Committee on Consumer Protection, following discussions with state agencies and online travel companies regarding the illegal rental of condominium units in violation of the Hotel Act of 2004.
Chanin Rungtanakiat, a 32 year old Pheu Thai Party list-MP and committee member, noted that online booking platforms often facilitate these unlawful rentals, making them partly accountable.
“Their involvement in these transactions is akin to facilitating the sale of illegal goods.”
The law imposes a fine of up to 20,000 baht (US$600) on violators, with an additional daily fine of 10,000 baht (US$300) until the activity stops. Most condominium regulations also explicitly forbid daily rentals.
Chanin emphasised the need for the government to coordinate efforts across different agencies to combat this issue. Relevant bodies include the Department of Provincial Administration, the Electronic Transactions Development Agency, and the Office of the Consumer Protection Board.
The proposed solution involves establishing a system that links databases of licensed hotels and accommodation providers with online travel agencies (OTAs) that manage bookings. This would necessitate the entry of a legally valid licence code for any property offering lodging services.
If adopted, the measure is expected to curb illegal rentals, improve service standards and safety for accommodations in Thailand, and provide greater assurance for guests, booking platform operators, and condominium residents.
Previously, following an increase in complaints about illegal rentals, particularly in the Sukhumvit and Sathon areas, deputy government spokesperson Anukul Prueksanusak reported that the Ministry of Interior had instructed the Department of Provincial Administration to monitor the situation closely and conduct inspections.
The government also cautioned foreigners purchasing condominium units and renting them as hotel rooms about the legal infringements involved, according to Anukul, reported Bangkok Post.
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