Agenda item

Report of the Group Director of Operations

The Group Director of Operations submitted a report (previously circulated) which requested approval of proposed changes to Council Tax Empty Property Premiums for 2024-25.

The submitted report stated that a 50% Council Tax premium (additional charge) was introduced in April 2013 for all unoccupied and unfurnished domestic properties which had been empty for 2 years or more, being the maximum that the Council was permitted to charge.

It was reported that new legislation was introduced in 2018 and changes were made to the Council Tax Empty Property Premiums, which were outlined in the submitted report.

The submitted report stated that the Levelling Up and Regeneration Act 2023 contained a provision to amend the definition of long-term empty homes, so that from 2024-25 onwards, unfurnished properties that have been empty for one year or more are liable to the Empty Property Premium.      In addition, the Levelling Up and Regeneration Act 2023 also included a provision to introduce a 100% Council Tax Premium for furnished properties periodically occupied (referred to as “second homes”) from 2025-26. 

The submitted report set out the proposals for the new Council Tax Empty Property Premiums. It was stated that the report had been considered by Cabinet on 7 November 2023, who agreed its onward submission for approval by Council.

RESOLVED – (a) That the following changes to the Council Tax Empty Property Premiums be approved:

(i)                  Amend the definition of long-term empty homes, so that from 2024-25 onwards, unfurnished properties that have been empty for one year or more are liable to the Council Tax Empty Property Premium from 1 April 2024.

(ii)                Apply a 100% Council Tax Premium to second homes.  As 12 months’ notice to existing owners of second homes is required, the earliest that the new charges will apply is from 1 April 2025.

(iii)              Implement exemptions for the second homes Council Tax Premium, as set out in paragraphs 14 and 15 of the submitted report.

REASON - To further encourage landlords and property owners to bring their empty homes back into use as soon as possible, and to penalise those owners who deliberately leave their properties empty for years.