Sometimes, the best regulatory response to emerging disruptive technologies is to stall. Not rushing to regulate lets the market find its own level, and gives time for the disrupter, the incumbent, the consumer and other stakeholders time to adjust. So I wasn’t unduly surprised when URA announced last Wed that it needed more time to review the issue of short-term rentals of homes. The lull gives the URA more time to study the issues and come up with a regulatory framework. It needs to balance the interests of those who want to let out rooms to tourists for income on home-sharing platforms, like Airbnb, with the interests of hoteliers and accommodation providers which are subject to licensing requirements; and the interests of neighbours who are entitled to peaceful living spaces. One criticism of Airbnb is that its renters do not pay occupancy or other government tax that hotel guests have to pay. Others say the income that hosts receive should also be taxed.... Continue Reading