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Maximum council tax hike on second homes set to be raised to 300%

02 Mar 2022 2 minute read
“No more second homes” sign in Nefyn, Gwynedd. Taken by LDRS.

The maximum tax hike on second homes is set to be raised to a whopping 300%.

The move is to tackle the negative impact vacant houses, holiday lets and soaring property prices are having on local communities.

It is part of a series of measures set out in the Co-operation Agreement between the Welsh Government and Plaid Cymru.

Councils across Wales will be able set the premium at any level up to the maximum, from April 2023.

The maximum premium councils can charge at the moment is 100%, which means the new measure could lead to a possible tax rise of 200%.

It will be possible to apply different rates for second homes and long-term empty dwellings.

‘Crisis’ 

Plaid Cymru’s Lead Designated Member Sian Gwenllian MS said: “It is clear that we as a country are facing a housing crisis. So many people cannot afford to live in their local areas, and the situation has worsened during the pandemic.

“These changes will make a difference, enabling councils to respond to their local circumstances and start to close the loophole in the current law. It’s a first but important step on a journey towards a new housing system that ensures that people have the right to live in their community.”

Climate change minister Julie James said: “We want people to be able to live and work in their local communities, but we know rising house prices are putting them out of reach of many people, exacerbated by the cost-of-living crisis we are facing.

“There is no easy answer or quick-fix solution. This is a complex problem that requires a wide range of actions.

“We continue to carefully consider further measures that could be introduced, and these changes are the latest steps we are taking to increase the availability of homes and ensure a fair contribution is made.”


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Leigh Richardss
Leigh Richardss
6 months ago

Hearing on the radio this morning that a wealthy gang of second home owners, led by someone who lives in greater manchester, are threatening to take the Welsh govt to court over this – if people can afford to fund private legal action against a govt then they can certainly easily afford to pay an increase in the council tax on their second home in Wales

Ernie The Smallholder
Ernie The Smallholder
6 months ago

If they do succeed, then the only action the Welsh government can do is to take Wales out of this poisonous union which is really an occupation of our country.

We need our own justice system and sovereignty for our nation.

Grayham Jones
6 months ago

Taxes on all second homes in wales at 500 percent taxes no more second homes in wales 🏴󠁧󠁢󠁷󠁬󠁳󠁿 it’s time for a new wales 🏴󠁧󠁢󠁷󠁬󠁳󠁿

Carol Loughlin
Carol Loughlin
6 months ago
Reply to  Grayham Jones

*Wales

Pob lwc
Pob lwc
6 months ago

Ban all landlordism.

MyndarWyliau
MyndarWyliau
6 months ago

Piecemeal approaches to solving the housing “crisis” won’t work- it is time to have a proper strategy that addresses the problem rationally. 1) Council tax was designed to provide local services, not to “fine” the tourist industry. The empty home rule was to stop people letting home go empty. Most holiday lets would happily have 100% occupancy. 2) There is no loophole. If you are running a self catering tourist accommodation, it is a business. 3) The record of Welsh LA’s and Government in building/funding social housing has been abysmal. People need homes near work, surgeries, schools and public transport.… Read more »

Ernie The Smallholder
Ernie The Smallholder
6 months ago
Reply to  MyndarWyliau

Something needs to be done to make use of every property as there are shortages of affordable properties in the areas people wish to live.
The real problem is we in Wales do not have full democratic control of our taxation system as a should be sovereign nation.
Most accomodation may well have near to 100% occupancy, but there is still a number that are empty, and this must be addressed.
This is hard particular in a country that does not have full sovereign democratic powers of deciding its own destiny.

Dyn Cwm Rhymni
Dyn Cwm Rhymni
6 months ago

Another step in the right direction. Hope that they will close a potential loop hole of declaring the second home as the primary residence.

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