The Central Public Works Department (CPWD) has received a fresh set of instructions to lift the quality of its government-run holiday homes and guest houses in four southern states to a three-star standard. The order, issued after a recent visit by Minister of State for Housing and Urban Affairs Tokhan Sahu, also calls for a sweeping upgrade of public toilets using IoT-based monitoring devices to guarantee cleanliness.
Upgrading India’s southern holiday accommodations
Kerala, Telangana, Karnataka and Andhra Pradesh will see their existing CPWD properties transformed to match the expectations of a three-star hotel. The directive, circulated to senior officials such as the Special Director General in Chennai and the Additional Director Generals in Bengaluru, Hyderabad and Kochi, requires a detailed implementation plan and a progress report.
Back in February, the CPWD asked its field offices to submit schematic drawings, budget estimates and financial proposals for modernising ageing holiday homes and Touring Officers’ Hostels (TOHs). Those submissions formed the basis for the current upgrade drive, which follows a series of pointed queries raised by the Lok Sabha’s Standing Committee on Housing and Urban Affairs. The committee had asked the Ministry of Housing and Urban Affairs for a clear picture of funding mechanisms and the condition of existing facilities.
To standardise service quality, the department drafted a Standard Operating Procedure (SOP) for cleaning and housekeeping. The SOP details the scope of work, supervisory duties and schedules, and it was shared with all field offices responsible for the upkeep of officers’ hostels and guest houses. Roughly 70 properties—spanning tourist hubs such as Delhi, Chandigarh, Port Blair, Bengaluru, Kozhikode, Varanasi, Mumbai, Gangtok and Kanyakumari—are covered under the Directorate of Estates and maintained by the CPWD.
Smart toilets and real-time cleanliness monitoring
The upgrade order does not stop at bedroom furniture and bathroom fittings. Public toilets in every CPWD service building must now present a “neat and clean appearance”. To achieve this, IoT-based monitoring devices will be installed, creating a sensor network that tracks usage, supplies and hygiene levels in real time. Data will flow to a central dashboard, enabling rapid response to any lapse in standards.
According to the minister’s missive, the IoT system will provide “close and active monitoring of cleanliness”, turning what was once a manual inspection process into an automated, data-driven routine. By embedding smart sensors, the CPWD aims to reduce the frequency of complaints and improve the
UK holiday-let sector warns of looming tax burden
Across the world, the holiday-let industry is bracing for a very different challenge. Richard Bond, the founder of Finest Retreats which manages 950 properties across the United Kingdom, has sounded the alarm over the government’s proposed tourist tax and new council-tax rules. Bond argues that reclassifying holiday lets as second homes and stripping them of business-rates relief would push many formerly profitable rentals into loss-making territory.
Bond told reporters that each holiday let functions like a small enterprise, employing local housekeepers, tradespeople and supporting a “hundreds of thousands of employees” in the broader sector. He warned that the Treasury’s approach, which appears to conflate genuine second homes with active short-term rentals, could generate a “tidal wave of destruction” for coastal and rural economies that rely heavily on tourism.
Chancellor John Healey is reportedly reviewing the proposal, while Junior Treasury Minister James Murray confirmed that the government is examining the “tax treatment of short-term lets, such as self-catering accommodation”. Murray noted that concerns have been raised about owners of second homes exploiting business-rates relief to lower their tax liabilities.
Regional authorities also weigh in. A spokesperson for the North East Mayoral Strategic Authority clarified that no final decision has been taken on an overnight visitor levy in the North East, and no rate has been set. The authority emphasised that any future levy would need to be modest, proportionate and designed with industry input, ensuring that any revenue raised would be reinvested locally to boost visitor numbers and tourism jobs.
The Until then, holiday-let operators like Bond are lobbying for a policy that recognises the sector’s contribution to local economies rather than treating it as a peripheral tax target.



