A survey of more than 1,500 businesses by the Wales Tourism Alliance (WTA) revealed that 84 percent of self-catering operators fear that they won’t be able to continue new lettings.
The WTA, with UK Hospitality Cymru (UKHC) and Professional Association of Self Caterers UK (PASC UK), called for a rethink.
They argued that this tool would do little to make homes more affordable for locals, and a great deal for making the tourism sector struggle.
“As a tool to bring properties back into a market which is affordable to local people, it will not work.
“Rather, it will reduce local owners’ ability to earn an income and cause a decline in secondary jobs in hospitality, retail, house maintenance and cleaning.”