Ban on new home short-term or sub-lets trialled in Manchester

"We need to safeguard family housing" in Brunswick, Councillor Suzanne Richards said

A scheme to stop new home owners sub-letting or offering short-term lets is being trialled in Manchester.

Those purchasing one of 300 new-builds in Brunswick must sign a covenant which bans them from letting through third party sites such as Airbnb or SpareRoom, the city's council said.

It said the scheme will keep the homes "in the hands of Manchester residents".

Airbnb said it took "local concerns seriously", while SpareRoom said it focussed on longer-term accommodation.

Brunswick will be used as a "blueprint" for regeneration elsewhere in the city, the council said

Brunswick, an area close to the city's universities, is undergoing extensive regeneration as part of a £100m PFI programme involving the council and consortium S4B.

More than 500 new homes - 200 for social rent and 300 for sale - are being built, while 650 council homes have already been refurbished, the council said.

The scheme is the first of its kind in the city and will be used as a "blueprint" for wider regeneration, the council said.

Councillor Suzanne Richards said the close proximity to the city centre and the universities meant it was "a target for the investor and short-term lets market".

"It's vital we do what we can to protect the community from being broken up by private landlords [to ensure] long-lasting, sustainable neighbourhoods," she said.

The scheme has seen homes refurbished as well as new housing built

The council said local people would be given priority before the new properties are put on the open market and background checks would be carried out to screen out investors.

Buyers must also sign an undertaking to confirm they intend to live in the home and if it is later sold, the covenants carry over, with lettings only approved if they are through an approved agent and for "a family-type household".

Three owners of the 91 homes sold so far have already been found in breach of the conditions and forced to pay court costs.

An Airbnb spokeswoman said about 0.5% of Manchester's housing is listed on the site and it reminds hosts "to check and follow local rules".

"We take local concerns seriously and want to work with city leaders," she said.

SpareRoom added that for the city to thrive, there was a need for "affordable, quality housing across the range, which includes shared housing, as well as social housing and family homes".