Empty Homes and Second Homes consultation

From 1st April 2017, Councils in Wales have been able to charge higher amounts (a premium) of up to 100% on top of the standard rate of council tax on second homes and long-term empty homes.

The legislative changes were made by the Housing (Wales) Act 2014 and the powers given to Councils are discretionary.

Whether to charge a premium on second homes or long-term empty homes (or both) is therefore a decision to be made by each Council and must be made by full Council.

The discretion given to Councils to charge a premium is intended to be a tool to help Councils to:

  • Bring long-term empty homes back into use to provide safe, secure and affordable homes.
  • Support Councils in increasing the supply of affordable housing and enhancing the sustainability of local communities.  

The Council is proposing to:

Introduce a Council Tax Premium on long-term empty properties and second homes at 100% for those which have been empty longer than 12 months. 

This premium charge will be payable from 1 April 2023 for properties meeting the criteria that have been vacant for more than 12 months prior to this date. The level of premium would then increase to 200% for those properties after a period of 2 years.

There are exceptions.  A premium cannot be charged on a dwelling that falls within one of the seven Classes of Dwellings listed below:

Class

Definition

Application

Class 1

Dwellings being marketed for sale – time limited for one year.

 

Second Homes and Long-Term Empty Properties

 

Class 2

Dwellings being marketed for let – time limited for one year

Class 3

Annexes forming part of, or being treated as part of, the main dwelling

Class 4

Dwellings which would be someone’s sole or main residence if they were not residing in armed forces accommodation

Class 5

Occupied caravan pitches and boat moorings

Second Homes

Class 6

Seasonal homes where year-round occupation is prohibited

Class 7

Job-related dwellings

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