Hotels operating without a full permit got another extension on Thursday, after MPs granted them one more year to comply.

The relevant act was passed by unanimous vote at the House plenum.

It applies to hotels and accommodation establishments operating prior to the coming into force of the basic law – enacted some three years ago.

Speaking on the House floor, Diko MP Chrysis Pantelides – who co-sponsored the bill – said an extension was necessary as the three-year transitional or grace period would come to an end very soon, this August.

Despite several hoteliers having “shown interest” in complying, he said, the delays in licensing are largely due to the Department of Town Planning and Housing which did not issue the relevant guidance on time. In addition, the licensing guidance was “unclear”.

Pantelides said that whereas it was not parliament’s intention to keep giving extensions, they wanted to give hoteliers a chance to set their affairs in orders.

In parliament earlier this year, MPs heard that just a fraction of hotels are fully licensed.

At the House commerce committee, it emerged that just 14.5 per cent of these businesses hold the required permits and operate with a full licence.

In all, about 740 hotels and tourist accommodation establishments currently operate without a licence.