Parliament to review bill extending hotel licensing transition period until end of 2028

Nicosia, Cyprus. Parliament is set to examine a bill extending the transitional regime allowing hundreds of hotels and tourist accommodation providers to operate without a full licence until December 31, 2028. The Deputy Ministry of Tourism said the extension aims to allow time to resolve long-running planning irregularities while maintaining safety standards.

Bill referred to commerce committee

The bill was submitted to the House last week and referred to the commerce committee. It would extend the current transitional arrangements for businesses that have not yet secured an operating permit, while requiring compliance with specific safety and health conditions during the extended period.

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Purpose and requirements

According to the Deputy Ministry of Tourism, the measure is intended to allow hotels and tourist accommodation providers to remain open within a defined timeframe while they regularise urban planning violations and meet requirements related to safety.

Previous deadlines under current legislation

The proposal follows legislation that came into force on May 31, 2025, which gave operators without a permit until November 30, 2025 to obtain one from the Deputy Ministry of Tourism.

Businesses that had, by that date, submitted architectural plans showing the layout of the premises, along with a study covering escape routes and fire protection measures and other required safety and health certificates and documents, were granted an extension until August 31, 2026.

Licensing figures

The deputy ministry said 167 out of 733 hotels and tourist accommodation units have so far been licensed under the current legislation, equivalent to 22.8 per cent.

It added that on March 1, 2023, only 43 units, or 5 per cent, had been licensed. By November 30, 2025, when the first extension expired, 158 businesses, or 21.5 per cent, had secured an operating certificate.

That leaves 566 units still without a licence.

New extension and consultations

The proposed bill sets out a new extension, subject to conditions, with the stated aim of maintaining momentum in addressing the licensing issue and providing further impetus to the legalisation of planning violations.

The deputy ministry said the measure would also seek to ensure the safe operation of hotels and tourist accommodation holding an operating certificate until the end of 2028, while allowing more time for consultation between competent authorities so that legal approvals can be issued for certain categories of irregularities.

How do you think the proposed extension could affect efforts to bring all tourist accommodation units into full compliance by 2028?