Shropshire Star

Holiday homes in line for a tax rise

Owners of holiday or second homes in Powys could face paying double the council tax of ordinary properties.

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The owners already pay 50 per cent extra but now Powys County Council is asking the public whether the council tax premium charge for periodically occupied properties should be 100 per cent.

Councillor Aled Davies, deputy leader and cabinet member for finance, said: “Following the recent consultation on long-term empty properties, owners and the wider public are invited to have their say on council tax premium charges on periodically occupied properties – properties that are substantially furnished and are not occupied as someone’s sole/main residence.”

Since April 2017, holiday or second homes and holiday lets that fall short of the criteria to be rated for business rates in Powys are subject to a council tax premium of 50 per cent resulting in a total council tax charge of 150 per cent. Regulations allow for a 100 per council tax premium to be charged on these types of properties resulting in a total charge of 200 per cent, he said.

“In a meeting on September 24, the council considered a notice of motion to increase the council tax premium on periodically occupied properties to 75 per cent.

“Through this consultation we are keen to understand the impact periodically occupied properties have within Powys communities with regards to tourism and the local economy, and the availability of affordable housing across the county. We are also interested in what the impact on the number of periodically occupied properties in Powys would be, if the premium were to increase.”

To respond to the consultation, people can complete the online survey at haveyoursay.powys.gov.uk.