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Nightly caps and voluntary levies: City of Sydney ramps up pressure on short-term rentals

Sydney Morning Herald - Latest News·Jessica McSweeney, Megan Gorrey·6 days ago
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October 24, 2026 — 5:00am

A push to ban property investors from running short-term rentals in the City of Sydney has been kiboshed under state planning laws, as councillors float alternative proposals such as a 30-day cap or voluntary affordable housing contributions from booking platforms to free up more homes.

Councillors are heaping pressure on the Minns government to release the long-awaited findings of a review into short-term rental accommodation announced in 2023 , or give councils more enforcement powers, after the City of Sydney’s chief planner determined only the state government had the power under NSW planning laws to move forward with a ban.

Key lock boxes are flooding Millers Point, a sign of increasing short term rentals.…

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