70% of hotels in Pattaya are illegal

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A leading representative of the hotel and business community in Pattaya has stated that government moves to rein in illegal hotels and improve things like safety will be good for the legal hotel trade and consumer. 

Sinchai Wattanasatsathorn, ex-business and tourism leader and now head of Flipper Group Pattaya, told Manager that 70% of Pattaya hotels are illegal in one way or another.

The government is using Article 44 powers to solve problems related to illegal encroachment, illegal adapting of buildings, change of use and safety concerns.

Sinchai believes that the negatives of the plans are outweighed by the positives especially in terms of safety for the consumer. As reported earlier in the week the plans include improvements to fire related safety with extinguishers now needed on every floor of certain properties.

Several new kinds of hotel will now be able to be legally registered increasing possibilities for the consumer to stay in properly registered accommodation that complies with all standards.

In 2016, Deputy Prime Minister Tanasak Patimapragorn revealed that around 60 percent of hotels throughout Thailand were operating illegally.

DPM Tanasak said that about 400,000 hotel rooms were in violation of of the 2004 Hotel Act.

Of 2,700 hotels operating in Phuket, only 900 were found to have a proper license.

Last week, Prime Minister Prayuth promised to get tough on illegal hotels.

The PM said that there are approximately 20,000 illegal hotels in Thailand.

He has told business owners they have 90 days to signal their intentions to register their properties so they comply with the 2004 Hotel Act. They will then have until August 2021 to ensure they have the correct licenses.

Illegal hotels are defined as properties such as hotels, condos, villas, guesthouses and hostels that offer accomodation but which are not registered with the authorities to do so.

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