LCQ3: Promoting development of "home-stay lodgings"
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Question:
There are views that expensive accommodation costs, as well as lack of variety and limited choices are related to the fact that only about 66 per cent of Mainland tourists stayed overnight in Hong Kong during this year's Labour Day Golden Week, and that the Government should make good use of the natural resources in rural areas to develop home-stay lodgings, thereby extending tourists' length of stay. In this connection, will the Government inform this Council:
(1) as it has been reported that Japan has relaxed its regulations on home-stay lodgings in recent years to focus more on management requirements than on strict hardware facility standards for hotels and guesthouses, whether the Government has studied regulating home-stay lodgings in this direction; if so, of the details;
(2) as there are views that Hong Kong has many rural locations with natural scenic beauty and potential for developing home-stay lodgings, such as Pui O and Mui Wo, whether the Government will study allowing village houses in such locations that have been issued with a Certificate of Compliance to automatically be eligible to operate as home-stay lodgings, in order to streamline the administrative procedures for applying to operate home-stay lodgings; if so, of the timetable; and
(3) as it has been reported that a private kitchen in rural areas has encountered considerable difficulties when applying for restaurant licences, whether the Government will relax requirements in the light of the unique circumstances of rural areas, and proactively assist rural home-stay lodgings that also operate restaurants by processing licences for both simultaneously, so as to accelerate the development of home-stay lodgings?
Reply:
President,
In response to the three parts of the question raised by the Hon Chan Hok-fung, having consulted the Development Bureau and the Environment and Ecology Bureau, my consolidated reply is as follows:
The Office of the Licensing Authority (OLA) under the Home Affairs Department is responsible for licensing and enforcement work under the Hotel and Guesthouse Accommodation Ordinance (Cap. 349). The purpose of the Ordinance is to ensure that premises intended for use as hotels or guesthouses meet statutory building and fire safety standards to protect the safety of lodgers and the public. Moreover, as guests typically only stay in hotels or guesthouses during nighttime or for short periods and may not be familiar with escape routes, it is necessary to establish reasonable safety requirements to protect their safety. Under the current system, any premises providing paid short-term accommodation, including hotels, guesthouses or so-called "home-stay lodgings", must comply with the building and fire safety standards stipulated in the Ordinance before being licensed to operate. The Ordinance does not impose special restrictions on or exclude "home-stay lodgings". As long as the operation mode falls within the definition of hotel or guesthouse, an application for a licence to operate can be made, regardless of whether the premises is located in an urban or a rural area.
The OLA has long been adopting a flexible and pragmatic approach in processing all licence applications to facilitate the operation of licensed premises. When processing hotel and guesthouse licence applications, the OLA ensures that premises under the applications meet basic safety requirements such as building and fire safety standards, while taking into account the scale and operation mode of the premises. Additionally, premises must comply with relevant requirements of the Ordinance, in order to safeguard the safety of lodgers and the public while balancing the interests of other owners of premises in the same building. Most of these requirements were introduced by the Amendment Ordinance in 2020, including the no-use restriction requirement (i.e. there should be no restrictive clauses in the deed of mutual covenant or Government lease of the premises concerned) and the person responsible for operating, opening, or managing a hotel or guesthouse must meet the fit and proper requirement. The application process does not impose additional restrictions for "home-stay lodgings" type operations. Upon receiving a licence application, the OLA will conduct an on-site inspection and formulate applicable licensing requirements based on the specific circumstances of each premises. The Government has always prioritised public safety as its foremost consideration while striving to foster the healthy development of the industry. As long as the safety of guests, other persons in the same building and the general public is ensured, the OLA will proactively facilitate the application and approval processes for licences.
Currently, land leases for small houses in the New Territories generally permit non-industrial uses, including operation as guesthouses. Therefore, as long as the small house has obtained either a Certificate of Compliance or a "No Objection to Occupy" Letter from the Lands Department, no lease modification would be required. However, a guesthouse licence would still need to be applied for to operate a guesthouse so as to ensure the safety of lodgers and the general public.
However, we understand that village houses in rural areas have their own unique characteristics and constraints. The OLA has always adopted a flexible and pragmatic approach in processing such applications, allowing applicants to propose alternative solutions on a case-by-case basis to meet the requirements for licensing, provided that building and fire safety are ensured. As long as there is no compromise of public safety, relevant departments will consider local situations when processing applications for rural and old village houses, with a view to facilitating applicants to meet the licensing requirements.
As at May 31, 2025, 108 village houses in the New Territories or outlying islands in Hong Kong have been issued with guesthouse licences.
In fact, to promote eco-tourism, facilitate visitors, and help revitalise desolate villages, the Government's inter-departmental task force has formulated a series of streamlined measures to facilitate guesthouse and food business licence applications for some 90 countryside villages in the New Territories that have no vehicular access, taking into account the uniqueness of remote rural areas. These streamlined measures cover various aspects, including town planning, land, fire safety, building safety and sanitary requirements. Currently, relevant licences have been obtained for some guesthouses in Lai Chi Wo, a takeaway shop in Yim Tin Tsai, and a restaurant in Kuk Po under these streamlined measures. Based on these actual cases, the Government is sorting out the requirements, details, and implementation procedures of the streamlined measures and will compile a set of Guide to Application for reference by interested operators. The Government will continue to review room for enhancement in the licence application process for guesthouses and food businesses in countryside areas, with a view to creating a more business-friendly environment to support the work of countryside conservation and revitalisation.
Under the inter-departmental collaboration mechanism, the first batch of guesthouse licences was successfully issued for 11 village houses in Lai Chi Wo between December 2021 and September 2022.
Thank you, President.
Ends/Wednesday, July 2, 2025
Issued at HKT 14:55
Issued at HKT 14:55
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