Implementation of Council Tax Premiums

Background

From 1 April 2017, Wrexham Council would be able to charge a premium of up to 100% of the standard rate of Council Tax on long term empty homes and second homes. The Council is contemplating charging a premium of 50% in respect of both long term empty and second homes. The purpose of this consultation is to seek people’s views on these proposals, this consultation closes on 6 March 2016.

What is a Long Term Empty Home

• A long term empty home is defined as a dwelling which is both empty and substantially unfurnished for a continuous period of at least one year. In considering whether a dwelling has been empty for one year, the council disregards any period prior to 1 April 2016, also any occupation of less than 6 weeks is also disregarded.

What is a Second Home

• A second home is defined as a dwelling which is not an individual’s main home and is substantially furnished.

Why is the Council considering charging a premium on these type of properties.
The intention to charge a premium on these type of properties is to help the council bring long term empty homes back into use to provide safe, secure and affordable homes, which forms part of the Councils Local Housing Strategy.

If an owner of a long term empty property requires help in the form of financial support to bring the property back into use, the council may be able to help in the form of grants or loans and can provide information on this area if required.
Are there exceptions to avoid a premium being charged?

In a limited number of cases there are exceptions available which mean that a long term empty property or second home may not be subject to the premium for a specific period, some examples of where exceptions apply are listed below for guidance:

• Dwelling being marketed for sale or let – would be given an exception for a maximum of 1 year
• Annexe which forms part of a main dwelling
• Dwelling which is someone’s main residence if they were not residing in armed forces accommodation
• Occupied caravan pitches and boat moorings
• Seasonal homes where year-round occupation is prohibited
• Job related dwellings

There could be other factors also which the authority may decide not to levy the premium, these will be considered as part of the decision making process as to whether to charge a premium.