Second-home owners will have to seek planning permission for future short-term lets, the Government has announced.
A new mandatory national register will also give local authorities the information they need about short-term lets in their area.
Local government secretary Michael Gove said the move would help prevent a ‘hollowing out' of communities and ensure local residents can access housing.
He said: ‘Short-term lets can play an important role in the UK's flourishing tourism economy, providing great, easily-accessible accommodation in some of the most beautiful parts of our country, but, in some areas, too many local families and young people feel they are being shut out of the housing market and denied the opportunity to rent or buy in their own community.'
Westminster City Council leader, Adam Hug, said: ‘We have around 12,000 short-term lets in Westminster – more than any other area in the country – and the reality is whole residential blocks have been hollowed out to become the equivalent of short-term lets.
'While we appreciate short-term lets are a cost-effective way to see a city, residents often face the impact of noisy parties and dumped rubbish.
‘The other issue is that the relentless growth of short-term lets has eroded our limited housing stock.
'If we could take back all the short-term lets in Westminster and offer them as private rented properties to local people, it would be the equivalent of seven years' worth of housebuilding.'