PHUKET — Thailand’s Ministry of Interior is accelerating efforts to clear Phuket’s long-running backlog of hotel business license applications, with Deputy Minister of Interior Worasit Liengprasit setting September 2026 as the target for completing applications that in some cases have remained unresolved for more than eight years.
Image Credit: Ministry of Interior
This Phuket Hotel News report comes as the government intensifies its focus on bringing accommodation businesses into the legal system while tackling regulatory obstacles, bureaucracy, corruption risks, nominee arrangements and illegal business activities. The initiative is also expected to become a Phuket Model that could eventually guide hotel licensing reforms in other major tourism provinces across Thailand.
Hundreds of Applications Processed in Two Months
Worasit visited Phuket Provincial Hall on August 7, where he chaired a meeting involving Phuket Governor Chotinrin Kerdsum, deputy governors, senior government officials, representatives of relevant agencies and local business operators.
During the meeting, the Deputy Interior Minister presented hotel business licenses to operators and reviewed progress under the Hotel Act B.E. 2547 (2004), along with issues involving entertainment establishments and social order.
One of the most significant developments was the rapid reduction in Phuket’s licensing backlog.
Officials said approximately 400 hotel license applications had been awaiting resolution, with some dating back to 2018. Nearly 300 applications have been processed during an intensive two-month period, leaving only around 100 to 117 cases still requiring action.
The pace represents a substantial increase compared with previous years, when Phuket might have processed only around 30 hotel licenses annually.
Worasit said the objective is to have the outstanding applications processed and entered into an up-to-date system by September.
Clearing the backlog is expected to provide greater certainty for hotel and resort operators while allowing authorities to improve regulation and tax collection across one of Thailand’s most important tourism economies.
Phuket Model Could Be Expanded Nationwide
The Ministry of Interior is looking beyond the immediate backlog.
Worasit said Phuket could become a national model for resolving licensing difficulties affecting hotel businesses elsewhere in Thailand. The province was selected partly because of its economic importance and its position as one of the country’s leading generators of tourism revenue.
However, simply accelerating applications will not solve every problem.
Authorities have identified several areas where existing legislation and regulations can prevent businesses from obtaining licenses. These include building control requirements, urban planning regulations, condominium rules, land allocation requirements, environmental legislation and inconsistencies between databases maintained by different government agencies.
The Ministry of Interior is compiling information on these obstacles with the intention of reviewing laws, ministerial regulations and other requirements that may no longer adequately reflect current business and urban conditions.
The objective is to make legitimate licensing more accessible while maintaining essential public safety standards.
Licensing Reform Targets Corruption Risks
A significant element of the initiative involves transparency.
Worasit said unnecessary regulatory barriers can create opportunities for corruption, particularly when entrepreneurs become trapped between incompatible regulations or lengthy administrative processes.
He encouraged hotel operators who have correctly submitted applications but encounter irregularities, unexplained obstacles or demands for bribes to report those problems directly.
The government’s position is that legitimate businesses should be able to enter the licensing system without resorting to unofficial payments or intermediaries.
Worasit also praised Phuket officials for the speed at which the backlog has recently been reduced, saying the progress demonstrated that government inspections and policy visits were intended to produce practical results rather than simply generate publicity.
The wider reform programme is expected to examine how licensing can become simpler, fairer and more transparent without weakening safety, security or community protections.
Planning and Entertainment Zones Under Review
Phuket’s rapid development has also created questions about whether existing zoning and planning regulations accurately reflect conditions on the ground.
Hotel and entertainment establishment operators presented proposals concerning areas where entertainment business licenses can be issued.
Authorities are considering how regulations could better support Phuket’s tourism economy while preserving community order.
Worasit said changes involving zoning, urban planning and related regulations should take account of the city’s actual growth.
Any significant changes should also involve consultation between entrepreneurs, residents and government agencies so that commercial development can coexist with local communities.
This balancing act is particularly important in Phuket, where established residential areas increasingly sit alongside hotels, restaurants, entertainment venues and other businesses serving international visitors.
Crackdown on Illegal Businesses Continues
The licensing initiative is running alongside a broader government campaign against influential figures, nominee businesses, illegal foreign investment structures and other unlawful activities.
Worasit said Thailand continues to welcome foreign visitors and legitimate foreign investors regardless of nationality. However, authorities would take action against individuals or groups involved in illegal businesses, criminal activities, drug trafficking, unlawful entertainment operations or nominee arrangements.
He stressed that Thai and foreign nationals are equally required to respect the country’s laws.
The government has also been examining cases involving alleged intimidation of local residents, officials and business operators. Worasit referred to a separate incident in Surat Thani involving a Thai business owner and a foreign tourist, saying he planned to personally follow up on the matter.
In Phuket, authorities are continuing legal action involving encroachment and other regulatory violations, including cases in the Bang Tao area.
The message from the Interior Ministry is that resolving legitimate licensing problems should not be confused with relaxing enforcement against businesses operating unlawfully.
A Major Reset for Phuket Hospitality
For Phuket’s hotel sector, clearing years of unresolved applications could represent an important administrative reset. Bringing legitimate operators into the licensing system should give businesses greater certainty, strengthen regulatory oversight and potentially increase government revenue while reducing opportunities for unofficial payments.
The more difficult challenge will come after the backlog disappears. Phuket’s tourism economy has expanded and diversified rapidly, while many of the laws governing buildings, land use, accommodation and entertainment businesses were designed for very different conditions. Updating those rules without weakening public safety or creating conflict with established communities will require careful coordination.
If the September target is achieved, Phuket will have demonstrated that a licensing backlog accumulated over many years can be substantially reduced within months when agencies work together. Turning that achievement into lasting reform will depend on whether outdated regulations are successfully modernized and whether transparent licensing becomes standard practice rather than a temporary campaign.
For Phuket’s hospitality industry, that could prove considerably more important than simply clearing several hundred files from government desks. A more predictable licensing environment would help legitimate operators plan investment with greater confidence while giving authorities clearer oversight of an industry central to the island’s economy.
For the latest developments in Phuket hospitality industry, keep on logging to Phuket Hotel News.
