Published on
September 14, 2025
Greece is implementing new laws and focusing on the consequences from the local infrastructure and communities when it comes to the issues of housing scarcity and overtourism. The pressure that is imposed on housing markets as a result of tourism, especially in the case of Athens, Mykonos, and the Cyclades Islands , is an economic issue that the Greek government is concerned with.
Greece is now planning to implement a number of policies that are going to decrease the volume of visitors to specific loctions, control short-term rentals, and distribute the positive impacts of tourism in a fairer way to the local communities. Residents from the UK are among the top passport holders visiting Greece and these new policies, that are going to be effective in the latest September of 2025, are going to specifically affect them.
New Travel Restrictions for Popular Greek Destinations
One of the primary measures being implemented is the restriction of travel and accommodation options in some of Greece’s most popular destinations. The Greek government has expressed concerns about the high volume of tourists in areas like Athens, Santorini, and Mykonos, which often leads to overcrowding, strain on local resources, and rising property prices.
For UK travelers, these new rules may mean fewer accommodation options in sought-after areas, particularly those relying on short-term rental platforms like Airbnb. The Greek government is considering a ban on issuing new short-term rental licenses in high-demand regions, which could reduce the availability of affordable accommodations in these hotspots. As a result, British tourists may need to adjust their travel plans by exploring less crowded destinations or booking accommodation further in advance.
The Impact of Short-Term Rentals on Local Housing Markets
Short-term rentals have become a major component of the Greek tourism industry, providing travelers with diverse lodging options. However, this boom in short-term rental properties has contributed to a housing crisis in many tourist-heavy areas. In cities like Athens and islands such as Santorini, the proliferation of short-term rental units has significantly reduced the availability of affordable long-term housing for local residents. As property owners turn to lucrative rental options for tourists, local residents are often priced out of the market, leading to higher rents and a growing shortage of affordable housing.
In regions like the Cyclades Islands, the imbalance between short-term rentals and permanent residences is particularly pronounced. The Greek government has taken note of this issue and is responding with the extension of a ban on issuing new short-term rental licenses in these high-pressure areas. The aim is to curb the negative impact of tourism on local communities and ensure that more housing is available for residents rather than being taken up by short-term rentals for visitors.
Stricter Regulations for Short-Term Rentals Starting October 2025
Starting October 1, 2025, Greece will enforce stricter regulations for short-term rental properties. These regulations are designed to ensure that properties meet safety and quality standards, including proper ventilation, natural light, and essential safety equipment like fire extinguishers and smoke detectors. Additionally, property owners will be required to obtain civil liability insurance and submit a safety declaration from a certified electrician.
To ensure compliance, inspections will be carried out by the Ministry of Tourism and the Independent Authority for Public Revenue. Property owners who fail to meet these new requirements could face fines ranging from €5,000 to €20,000 for repeat violations. These measures will make short-term rentals safer and more reliable for tourists while addressing the housing challenges that have resulted from the rapid growth of this segment of the market.
Potential Impact on British Tourists and Their Travel Plans
The introduction of these new regulations could have a significant impact on British tourists, particularly those who rely on short-term rentals for their accommodation needs. Popular destinations like Athens, Mykonos, and Santorini have long been favored by British holidaymakers, but the new rules may force them to reconsider their travel plans or adjust their expectations.
With fewer short-term rental properties available, UK tourists might have to explore alternative destinations in Greece, such as Crete or Rhodes, or seek out more traditional forms of accommodation, like hotels or resorts. This shift in the accommodation landscape may also lead to higher prices in certain areas, as demand for hotels and other traditional lodging options increases.
Additionally, tourists from the UK and other countries may find themselves needing to plan their visits further in advance to secure accommodation, particularly in the most popular spots. Travelers who are used to the flexibility of booking short-term rentals at the last minute might face difficulty finding available options during peak travel seasons.
Encouraging Sustainable Tourism Practices
The new regulations also reflect a broader trend toward sustainable tourism practices in Greece. The government is not only aiming to manage overtourism in the most popular destinations but is also focusing on spreading the benefits of tourism across the country. By encouraging travelers to visit lesser-known regions, Greece hopes to reduce the pressure on overcrowded destinations and promote more balanced economic growth throughout the country.
In addition to the accommodation restrictions, the government is likely to invest in promoting sustainable travel options, such as eco-friendly accommodations, local experiences, and off-the-beaten-path destinations that offer a more authentic experience for travelers. This approach encourages a more responsible and sustainable way of traveling, where the benefits of tourism are more evenly distributed and local communities are not overwhelmed by large numbers of visitors.
Greece’s Tourism Outlook: Balancing Growth with Sustainability
As Greece moves forward with these new tourism regulations, the country is setting an example for other European destinations grappling with similar overtourism challenges. By addressing the housing crisis, managing visitor numbers, and promoting sustainable tourism practices, Greece is working to ensure that tourism remains a key driver of economic growth without compromising the quality of life for local residents.
For UK tourists, this may mean adjusting travel plans, booking accommodation early, and considering less crowded destinations within Greece. However, these changes are designed to preserve the integrity of Greece’s cultural and natural resources, ensuring that future generations of visitors can continue to enjoy all that the country has to offer.
Embracing Responsible Tourism in Greece
Progressive tourism management practices together with regulations, to a certain extent, are positive steps to diminishing overtourism, as well as preserving Greece’s iconic locations for future generations to both enjoy. These may, at first, seem unnecessary adjustments to travel plans or overly burdensome for potential UK tourists, but they are meant to address Greece’s enchantment and beauty. Acceptance and compliance with the rules are a sign of positive contribution toward the desired goal of responsible and sustainable tourism, for both tourists and the local residents.
