Council Tax Premium on Long Term Empty Properties and Second Homes
The Housing (Wales) Act 2014 allowed Billing Authorities in Wales to raise a Premium of up to 100% from 01/04/2015 in respect of both sections noted below (12A and 12B). Ceredigion did not raise a Premium between 01/04/2015 and 31/03/2017. On 01/04/2017 a premium of 25% was introduced for both classes.
Changes to the Legislation allowed Council Tax to be increased to 400% (100% Council Tax and 300% premium) from 01/04/2023.
Ceredigion County Council has determined that in respect of properties that fall under section 12A and 12B of the Local Government Finance Act 1992 following premiums will apply from 01/04/2024 onwards:
12A: long-term empty dwellings
The criteria are;
For the purposes of this section, a dwelling is a “long-term empty dwelling” on any day if for a continuous period of at least 1 year ending with that day
- it has been unoccupied, and
- it has been substantially unfurnished
- 100% for Properties that have been Long Term Empty Properties for up to and including 5 years
- 150% for Properties that have been Long Term Empty Properties for over 5 years and up to and including 10 years
- 200% for Properties that have been Long Term Empty Properties for over 10 years
12B: dwellings occupied periodically (sometimes known as second homes)
The criteria are;
- there is no resident of the dwelling, and
- the dwelling is substantially furnished
Dwellings occupied periodically (Furnished but no resident) includes all second homes and self-catering that fail to meet criteria to go into Non Domestic Rates
- 100% from 01.04.2024
The following types of property are excepted from premiums
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Class 1 |
Dwellings being marketed for sale (maximum 12 months) |
|
Class 2 |
Dwellings being marketed for rent (maximum 12 months) |
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Class 3 |
An annexe which is part of main house and is being used by the occupiers of the main house. |
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Class 4 |
Unoccupied dwellings which would be someone’s main home but are in armed forces. |
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Class 5 |
Caravans not occupied by anyone as their sole or main residence and mooring occupied by boats. |
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Class 6 |
Dwellings that have a planning condition that prevents occupancy for a continuous period of at least 28 days in any one year period. From 01.04.2023 this has been extended to cover the above and (b) permission specifying that the dwelling may be used for short term holiday let only (c) preventing occupancy as a person’s sole or main residence. |
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Class 7 |
Job related |
The Council actively seeks to encourage owners to bring empty dwellings back into full time use and we are able to assist you in the following ways:
- financial assistance by way of loan (interest free) to renovate the dwelling
- assistance in identifying works required to make sure the property is habitable
- advice on how best to organise any works needed to the property
- help to find tenants for the property including availability of leasing or management schemes
- help to arrange the sale of the dwelling
- letter to support reduced rate of VAT for works carried out (For properties empty over 2 years, this is reduced to 5%)
If you wish to contact the Empty Property Officer to discuss further how you can return your property back to full time use, please contact the Housing Service on 01545 570881 or via email at housing@ceredigion.gov.uk.
Please also see our National Empty Homes Grants and Repairs & Loans pages for further details.