A prominent property industry figure says he backs higher council tax for unlet and vacant second homes but warns that Airbnb hosts should not be hammered the same way.
National Association of Property Buyers spokesman Jonathan Rolande says: “We’d be 100 percent behind elevated council tax for second homes that are unlet and often left vacant. They contribute little to the local economy and frankly, if people want somewhere of their own to pop to for a holiday, they should pay for it.
“After All, the rest of us must stay in a hotel so there is little downside.”
But he continues: ““However, those that are let AirBnb-style are different. Like them or loathe them, they bring visitors to the area. Visitors who use local shops, pubs, restaurants and tourist attractions. Run as a business, the owner will be paying tax on income after expenses.
“In these cases increased council tax could actually damage this market and much could be reclaimed anyway via the owner’s tax return. The net gain would be tiny and the threat to local tourism, competing as it is once again with sunnier, more exotic locations could be significant.”
About half a million properties in England - around two per cent of housing stock - are classified as ‘second homes’ and many families use them when they are working away from their main home, or for weekends or holidays.
Local authorities have been able to charge the full rate of council tax on second homes since 2013, but latest figures show that about 10,000 of them still get a council tax discount.
There’s been a recent trend for councils in England to announce they will double the council tax for some or all of these second homes, providing national legislation is passed by the Westminster Parliament in the near future.
In Wales local authorities will be able to charge a council tax premium on second homes of up to 300 percent from next month.
Want to comment on this story? Our focus is on providing a platform for you to share your insights and views and we welcome contributions.
If any post is considered to victimise, harass, degrade or intimidate an individual or group of individuals, then the post may be deleted and the individual immediately banned from posting in future.
Please help us by reporting comments you consider to be unduly offensive so we can review and take action if necessary. Thank you.
.jpg)
%20(002).png)
.png)
Join the conversation
Jump to latest comment and add your reply
Air bnb are an utter nuisance , attract noisy morons with no regard for existing neighbours
Personally I’d ban them completely
Trouble is George, where do you draw the line. A young couple, friends of my son, have a lovely house down here in sunny Bournemouth. They have a good sized bedroom 3 with en-suite that is occupied by Airbnb guests all year round and provides them with vital income. That was the original basis for Airbnb and it would be a shame to lose that. This summer, I'm touring Southern Germany, Austria and Switzerland. Mainly Airbnb - the choice of hosts has been incredible
Doug - I think the difference is people who live in their house & rent out a spare room, proper Air B&B & people who rent out a whole house & call it Air B&B when it is actually a holiday let.
George - We have an Air Bnb which is let out may be 4 to 5 times in the summer months. However, we always contact the guests to find out more about them, the sort of holiday they are looking for and remind them of our house rules, BEFORE accepting any reservations. Also we do NOT take large groups of ‘adults only’. In 8 years we have NEVER had one complaint from neighbours of antisocial behaviour or disturbances.
I have 3 Airbnbs George. Never had a complaint
so generalising them is wrong.
Agree with George. Airbnb don't have the proper systems in place as hotels to control behaviour and noise as there is no security people. Airbnb don't have the proper fire safety system checked as hotels. Many Airbnb are holiday let, and holiday let shouldn't be allowed in the residential building either. It is a jeopardy to neighbours' safety and quality life. Travellers should stay in the hotels. Why hotels have to apply so many licenses and fire codes, but Airbnb don't have to. They are the same kind of business. It is unfair. We should ban Airbnb. It is not about how much more tax. It is not about envy. To have airbnb running like hotels but lack of regulations, licenses and approval of proper location, it is just fundamentally wrong.
So I live in Cyprus but also have a home in the UK. My only home in the UK which I use regularly, not my 2nd home. Should I have to pay extra council tax and where would you draw the line? used for 1 month a year or 6 months a year or somewhere in between and how would this be policed.
No chance will they back down, anyone who has more than their own home will get hammered as we are viewed as “ Rich” 💵💵🫵🏻🫵🏻, common sense doesn’t even come into it.
its just about filling funding gaps & people hate others who have more than them so it is a popular tax.
Tricia - as usual you have ‘hit the nail on the head’.
Envy!
Definitely, David.
Jonathan, is having a laugh there’s no point in hammering a few that might be under used or vacant occasionally although they will give them a hit as well it’s the money.
However I believe they will hit AirBnB for sure to because there’s a lot more of them and that’s where the revenue is, as the saying goes its the money stupid.
However not withstanding the 90 days rule restriction can only let airbnb for 90 consecutively or 90 day’s in the year, what happened to that no mention of this or does it apply or not.
Just another assault on ‘ownership’ driven by a desperate Gov that’s failed to build homes and finds it convenient to pander to more illogical minority demands.
Airbnb underpins local economies across the U.K. To meddle with it and impose the usual ‘over regulation’ will impoverish those economies further.
Anthony - Definitely. The guests who enjoy staying in our home are, hardworking families, who enjoy staying in a ‘home from home’ environment within walking distance to the sandy beach. Many of our own friends, along with others living in the community benefit financially from our paying guests via their restaurants, bars, art exhibitions and of course the house change-over/cleaning services.
My impression of this article is that it shows double standards. Why should a BTL landlord have to pay more council tax when for example, refurbishing or re-letting while an airb&b that provides accommodation for only 4 months a year is not affected by any increase in CT.
John - we pay full council tax as it is our home.
B&B in the hosts own full time home and holiday lets in an extra property are two entirely different things (even if they are both Airbnb).
For a start in their own home they would get the Rent a Room tax allowance.
Some extra properties are clearly holiday homes on holiday parks and often have rules about not being allowed to be occupied as a permanent home.
It's the others that are contentious, especially if they are located in residential areas and historically have been occupied as full time homes. Haven't there been articles recently about how some of those pay much lower business rates instead of Council Tax? Aren't there constantly reports about how they charge more for a week than a standard BTL would be for a month? I seem to remember Section 24 doesn't apply to holiday lets.
Hi Jo
I have commented before that you normally present a balanced view of any topic and I agree with most of what you say on this forum. However I would like to make the point that the government themselves are largely to blame for the increase in holiday lets.
I have a holiday let in Cornwall as well as an HMO, flats and normal semi detached house so I do have relevant experience of most types of properties.
In the holiday let, which incidentally is normally let on a 6 month AST in the winter so is occupied all year round, I enjoy claiming my morgage interest as a normal expense, I do get preferential treatment ( so far!) on Council tax, I don't have to serve any of the Govt required paperwork to each tenant, I get paid in advance, any damage is checked after every tenant and charged if appropriate and all my guests leave when they are supposed to do. I also get one and a half monthe rent every week in high season.
If the playing field in the PRS had not been so hostile to landlords on all fronts a lot of these holiday lets would be let on AST's to normal tenants so as usual the blame can be laid at the government's door. We are a business, not a charity and it is up to us how we operate to our best advantage.
Hi Paul
Absolutely agree it is totally due to government policy and general lack of joined up thinking. Trying to piece together various sound bites and coming up with a barking mad overall policy. No conception of unintended consequences when they embark on their assorted attacks on landlords (and tenants).
Wouldn't it be marvelous if some real 'Levelling up' was put into action and traditional BTL landlords were taxed in the same way as holiday lets?
Spot on, totally agree.
Just curious. How are your 6 month winter ASTs going to work if the Rental Reforms indefinite tenancies come in?
Would you leave them empty during the winter, aim for a few short winter breaks, revert to traditional BTL or decide it's all ridiculous and sell up?
Presumably your winter lets are mainly occupied by transient workers who have summer gigs elsewhere or people undertaking major renovations to their main home. As a matter of interest who else is a safe bet for a winter let? Do you ever have people 'misunderstanding' the concept of a fixed 6 month tenancy?
On another tread dog bites up 40% in 5 years great news for Mr Michael Gove he will force in that right for Tenants to have them. It should help to damage Landlords even more it will help his agenda.
Jo. How right you are it’s all so ridiculous nothing to do with making it fairer just to do as much damage as possible.
There will by no AST and no Section 21 all designed to destroy us regardless of the huge contribution we have made for decades and taxes paid.
When we see them making Blocks of Flats (more than 3) exempt from many Regulation’s, that says it all we are not been treated equally.
Please login to comment