Summary: As reported this week in The Guardian, Wales has created new powers to prevent communities being destroyed by second home ownership. Local authorities now have the power to increase Council Tax rates for second homes (up to 300% of the standard rate). In addition, a new occupancy use class has been created, so houses are now classified as either primary, secondary, or short-term holiday let. The move is being resisted by some tourism leaders and Conservative politicians.
Given the appearance of bumper stickers in Cornwall that say “F*** Your Second Home”, and the continued discussion in the press, it seems significant pressure is on government to allow Cornwall similar powers to those recently enacted in Wales.
These powers will allow Welsh local authorities to increase the amount of council tax that second home owners must pay, and, crucially, make it harder for houses to be bought as holiday homes. The measures are aimed to stop villages being denuded of local people, who live and work there throughout the year. This could see owners of second home and empty houses being charged three times the usual council tax rate. There are three new planning use cases that have been created to align with the new council tax structure: primary home, second home, and holiday let.
The goal is to increase the supply and affordability of homes for those who are likely to earn far less than those coming into the area to snap up houses, specifically in coastal and rural locations, and looks set to be applied across all or most of Wales.
Read more here.
Andrew Climo
Andrew Climo is a Cornish Democracy researcher, historian, analyst, community facilitator and Higher Education consultant.