Deputy Ministry of Tourism
Cyprus's tourism ministry; due to consult on STEK's short-let cap, inspection and levy proposals.
On 18 July, Cyprus's short-let and hotel lobbies told local media that occupancy and prices had each fallen 10 to 15 per cent year on year, sharpening pressure on regulators to cap and license short-term rentals against roughly 8,500 licensed but 12,000-15,000 advertised properties.
Last refreshed: 28 July 2026 · Appears in 1 active topic
Will Cyprus's tourism ministry act on hoteliers' short-let cap demand?
Timeline for Deputy Ministry of Tourism
Cyprus hotel lobby seeks cap as short-lets slump
Nomads & CommunitiesBackground
Cyprus licenses tourist accommodation, including short-let rentals, hotels and self-catering units, through a formal registration regime that falls within the REMIT of national tourism authorities. The sector has drawn growing scrutiny from both licensed-hotel operators and short-let landlords, who in mid-2026 separately petitioned government for tighter rules, including an annual cap on new licences, more inspections, fines for unlicensed lets and an overnight levy, while short-let representative bodies countered that occupancy and prices were already falling.
A persistent gap between licensed and advertised short-let properties, roughly 8,500 licensed against an estimated 12,000 to 15,000 advertised, sits at the centre of that dispute and defines the enforcement challenge facing regulators. A large share of the market operates outside the formal licensing system altogether, which complicates any attempt to cap, tax or inspect the sector by decree and keeps licensing reform a live administrative question rather than a settled one.