The European Commission put forward a regulation proposal on Monday that would require short-term rental companies such as Airbnb Inc. to share the number of platform users with authorities.
The new rules would patch the existing discrepancies in the national laws of EU countries and provide transparency in the process of identification and activity on online rental platforms, preventing illegal listings. With the lack of affordable housing on the rise, short-term rental companies have been accused of contributing to the crisis by pushing out socially struggling residents in popular tourist destinations, while smaller communities rely on the platform to attract more visitors.
"These proposals provide a framework for Airbnb to scale our collaborations with governments and make it easier for everyday Europeans to share their homes and follow the rules," said Airbnb's Head of EU Public Policy Georgina Browes.
The shares of Airbnb tumbled over the past week by about 13% on underperforming third-quarter results, only to slide 1.85% and sell for $94.39 apiece at 10:58 am ET.
