Councillor demands power to hike council tax on second homes to 150%
Katy Jenkins, local democracy reporter
A Tenby councillor has urged the local authority to ask the Welsh Government to allow it to hike council tax on second homes even higher.
Cllr Michael Williams called for council tax on second homes to be increased again during budget discussions at corporate services overview and scrutiny on January 20.
He told the Pembrokeshire County Council meeting that he understood the 100% second home premium approved for 2022/23 is the “statutory maximum” so he called for “urgent representations” to change that.
Cllr Williams suggests that a further 50% could be levied – and money raised spent on services.
Other councillors questioned the effectiveness of this in reducing second homes, that could be switched to business rates.
Cllr Williams said that 75 per cent of houses on his street in Tenby were second homes and four families had recently been in touch after being “given notice to quit” because their long term rentals were being changed to Air B&Bs.
“We have a chronic housing problem here that’s being exacerbated by the sheer number of second homes. They contribute nothing, absolutely nothing to the local economy.”
He added that if someone can pay £450,000 for a terraced house they “use occasionally” they should pay more.
Cllr Mike Stoddart said he feared it would encourage more to switch to non-domestic rates and neither reduce second homes nor raise significant sums of money.
‘Impact’
Waiting to see the impact of the 100 per cent premium before going further would be more advisable Cllrs Mike John and Mark Carter said, while also acknowledging that something need to be done.
The committee were advised that a request that the option for all local authorities to increase premiums could be included in a consultation response to Welsh Government by cabinet and it was agreed that senior councillors be asked to consider this.
The consultation is relating to planning amendments which include potentially introducing the ability to require the need for planning permission for change of use of a main dwelling to holiday use.
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No more second homes in wales 🏴 it’s time for a new wales 🏴
Rhyfedd yr holl fwydro yma am ‘ail gartrefi’ tra bod y broblem efo cartrefi ‘cyntaf’ yn cael bron dim sôn o gwbl – Cynghorau Sir Cymru yn baglu dros ei gilydd i godi miloedd ar filoedd o dai yn enw ‘amcanestyniadau poblogaeth’, rhai o’u gwirfodd, ac eraill yn anfoddog, tra bod ein poblogaeth naturiol yn syrthio. Yr eliffant anferth yn yr ystafell.
Aim for 200%
Planning has been given for residential use specifically on properties.
Use as second homes air bnbs , holiday letting or bed and breakfast purposes are all changes of use and should be treated as such.
Potentially a good move, but the ‘loophole’ of being able to switch to non-domestic rates needs to be tackled in tandem with it, or even as a prior measure.
Cyngor Sir Benfro should therefore look into passing a by-law prohibiting change of use, or at least make it dependent on an applicant seeking Council approval.
No loophole exists. I for the last 5 years in Wales have to prove to the valuation office that my property is listed with a letting agency and was available to rent for 140 days and actually rented at full rate for 70 days. You also have to provide financial evidence for the whole year. You had to provide the above information to local councils to claim the covid-19 grants so every council in Wales should know who is a genuine holiday let and who is not.
There is no need for second homes…. Balmoral springs to mind.
English people should staycation in England. That would be great for the English economy.
an isolated nationalized state inwards looking with out visitors and reducing tourism spend, loss of jobs, and declining economy, seems like an excellent plan to me……
Since 2017 it has been Pembrokeshire’s plan to build 125 affordable houses a year. How many were actually built? Surely a more important issue to shout about if we are trying to house local people.Councillor Williams appears to be a property developer after all.
I apologise about mistaking Cllr.Williams.I confused with Cllr Michael Edward.