Airbnb Hit With €68 Million”Illegal Content” Fine

The Spanish government has issued a massive €68 million fine to US accommodation platform Airbnb for advertising unlicenced tourist apartments in Spain as well as for using different licence numbers and incorrect information.

The Spanish Consumer Affairs ministry has found 65,122 ads published in the housing platform that do not comply with Airbnb’s policies.

Madrid has a significant number of illegal Airbnbs, with estimates from mid-2024 suggesting around 93% of its 13,500 tourist rentals (over 12,500 properties) were operating without correct or non licences.

Madrid has put in place stringent regulations governing short-term rentals, particularly those offered through platforms like Airbnb.

Short-term rentals are distinctive in the city, defined as stays of 90 days or less. Any property rented beyond this duration requires a special permit.

To operate legally, hosts must register their property with the Madrid City Council and acquire a tourism license number, which must be prominently displayed in all listings.

The fine is final as it cannot be appealed. The sanction also forces Airbnb to modify the wrongly published ads, withdraw the unlicensed ones, and publicly announce the imposed fine.

In a statement, the ministry said that ads for unlicenced tourist apartments are illegal in many Spanish regions, as they must display the appropiate licence number.

The fine totals €64,055,311, which is six times the “illegal” profit made by Airbnb during the time they were notified of the sanction and the ads were withdrawn from the platform.

“There are thousands of families living at their limit due to the housing crisis, while some are becoming richer with businesses that force people out of their homes,” Pablo Bustinduy, Spain’s Consumer Affairs minister, said in a written statement.

“In Spain, not a single company, regardless of how big and powerful it is, can be above the law,” he added.

The Asufin association, focused on financing users, welcomed the decision and said it is “a warning.”

“Online platforms have a huge power, and they cannot pretend just to be a mere intermediary that takes away all benefits without facing any responsibility,” Patricia Suárez, president of the association, said.

“Airbnb has been punished for not having any control at all over what is published online, and considers tourist apartments as just one more product, she said.”

The platform has “to comply with the law.”