The European Commission will propose light-touch rules for Airbnb and other short-term home rental companies, people familiar with the matter said.
Under the draft rules, short-term home rental companies will have to provide data on numbers using their services and how many nights they stay to national authorities, they said.
The data will be stored at a single digital entry point available to all public authorities, one of the people said.
The proposal, which the EU executive will announce next week, marks an effort to tackle the patchwork of different national laws across the 27-country zone regulating Airbnb and its peers.
Airbnb did not immediately respond on Thursday to a request for comment on the draft plans.
Authorities in Amsterdam, New York, Paris and other cities popular with tourists have blamed Airbnb for worsening housing shortages in their cities which have pushed out lower-income residents.
Smaller towns and those in the countryside however have been more welcoming, hoping to attract more tourists. The proposed EU law aims to balance the interests of the two sides.
Airbnb has in recent years tried to address such concerns by capping the number of days per year that homes can be rented out in central Paris, London, and Amsterdam.
The proposed legislation will need to be thrashed out with EU member states and the European Parliament next year before it can become law.
Back in August, the Associated Press reported that Airbnb would use new methods to spot and block people who try to use the short-term rental service to throw a party.
The company had said it would introduce technology that examines the would-be renter’s history on Airbnb, how far they live from the home they want to rent, whether they’re renting for a weekday or weekend, and other factors.
At the time, the company said that the screening system that rolled out for listings in the US and Canada was tested since October 2021 in parts of Australia, where it produced a 35 percent drop in unauthorised parties.