Consultation on raising council tax premium for long-term empty homes and second homes

Why are we doing this?

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THIS CONSULTATION RAN FROM 26 MAY 2023 TO 21 JUNE 2023

THIS CONSULTATION RAN FROM 26 MAY 2023 TO 21 JUNE 2023. Full Council debated this proposal on 5th September 2023. For updates please see below

View updates for this consultation

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We are proposing increases to the domestic council tax premium for long-term empty and second homes in Denbighshire.

A detailed document outlining our proposals can be downloaded from here:

Consultation document: proposals to increase council tax for long-term empty homes and second homes in Denbighshire (PDF)

Summary of proposals:

This proposal follows the introduction of new powers granted by Welsh Government, allowing local authorities in Wales to charge up to 300% over the standard charge.

The current charge for long-term empty homes and second homes in Denbighshire is 50% over the standard charge. We are proposing to increase this to:

  1. From 1st April 2024: all long-term empty homes and second homes in Denbighshire will be charged 100% over the standard charge
  2. From 1st April 2025: all long-term empty homes and second homes in Denbighshire will be charged 150% over the standard charge
  3. From 1st April 2024: all long-term empty homes which have been empty for a continuous period of 5 years or longer will be charged an additional 50% over the proposed increases. This means the charge for these properties will be 150% over the standard charge from 1st April 2024, and 200% over the standard charge from 1st April 2025.

To find the current council tax charges for your area, please visit our website:

Council tax charges | Denbighshire County Council (link opens in a new window)

By increasing the council tax charges on long-term empty homes and second homes, we hope that homeowners will be encouraged not to leave their properties empty.

We would like to encourage homeowners to bring long term empty and second homes back into use for the benefit of the local community and economy.  

Definitions

  • Council tax is an annual fee charged by the Council to all properties within the county boundary. 
    Council tax makes up approximately 17% of the Council's total income and helps the Council to finance provision of important services such as Social Services, Education/Schools, Waste & Recycling, and much more.
     
  • A long-term empty home is a dwelling (a domestic property desgined to be lived in) that remains unoccupied and substantially unfurnished for a continuous period of at least 1 year. 

    There are currently 637 long-term empty homes in Denbighshire.

  • A second home is a dwelling (a domestic property designed to be lived in) which is a substantially furnished property and is not a person's sole or main place of residence. 

    There are currently 391 second homes in Denbighshire.

What do we want to know?

We would like to know what you think about our proposals.

We are interested in your views on:

  1. Do you agree with our proposals to raise the premium on council tax for long-term empty and second homes in Denbighshire?
  2. What impact you think any additional premium will have on the local housing market, both in terms of:
    1. Private Rental
    2. Open market (buying and selling of houses)
  3. What impact you think any additional premium would have on the availability of affordable housing in Denbighshire
  4. What impact you think any additional premium will have on the tourism industry in Denbighshire
  5. What impact you think any additional premium will have on the status of the Welsh language and Welsh culture in Denbighshire

 

Tell us what you think

We would be grateful if you could complete our short consultation questionnaire to let us know what you think. An online version of the consultation questionnaire is available via the following link:

Consultation questionnaire (online version): proposals to increase council tax for long-term empty homes and second homes in Denbighshire 

You will need to provide your name and address in order to have your views considered for this consultation.

If you are unable to complete the online form, you can download and print a paper form, or pop into your local library to request one.

Consultation questionnaire (print version): proposals to increase council tax for long-term empty homes and second homes in Denbighshire (PDF)

Completed paper forms can be returned to:

  • Your nearest Denbighshire County Council library during their usual opening hours
  • By post to: Revenues Services,  Denbighshire County Council, Russell House, Churton Road, Rhyl, LL18 3DP

All responses must be received by Wednesday 21st June 2023

Location: Denbighshire County Council

  • Start date 26 May 2023
  • End date 21 June 2023
  • Methods Feedback Forms, Consultation Document
  • Supplier Denbighshire County Council

What we found out

Update: 27th July 2023

Thank you to all who took part in our recent consultation on Increasing Council Tax Premiums on Long Term Empty Homes and Second Homes. 

The results demonstrate that the majority of respondents who live in Denbighshire felt there is a need for an increase in the council tax premium charges for both long term empty and second homes and so supporting the recommendation.  Second homes and long term empty owners did not generally support the proposals, although there was slightly more support for a charge for long term empty properties.

The results were included in a report that was presented to Cabinet on 18th July 2023.  At that meeting, Cabinet recommended that officers proceed with the next steps to take forward the proposals by taking a report to Full Council in September 2023.

The proposals support the Council’s Corporate Plan which aims to encourage home owners not to leave their properties empty and bring them back into use for the benefit of local Denbighshire communities and also their economies.

Although the Welsh Government has given powers for increases up to 300 percent, the proposals which will now go forward for consideration at Full Council are:

  1. From 1st April 2024: all long-term empty homes and second homes in Denbighshire will be charged 100% over the standard charge
  2. From 1st April 2025: all long-term empty homes and second homes in Denbighshire will be charged 150% over the standard charge
  3. From 1st April 2024: all long-term empty homes which have been empty for a continuous period of 5 years or longer will be charged an additional 50% over the proposed increases. This means the charge for these properties will be 150% over the standard charge from 1st April 2024, and 200% over the standard charge from 1st April 2025.

 

 

What difference has it made?

 

Update: 7th September 2023

At a meeting of Full Council on 5th September 2023 elected members from Denbighshire County Council agreed to increase the Council Tax premium on Long Term Empty Homes and Second Homes as follows:-

  1. From 1st April 2024: all long-term empty homes and second homes in Denbighshire will be charged 100% over the standard charge
  2. From 1st April 2025: all long-term empty homes and second homes in Denbighshire will be charged 150% over the standard charge
  3. From 1st April 2024: all long-term empty homes which have been empty for a continuous period of 5 years or longer will be charged an additional 50% over the proposed increases. This means the charge for these properties will be 150% over the standard charge from 1st April 2024, and 200% over the standard charge from 1st April 2025.
  4. Any extra funding generated is allocated for local communities, amenities and to tackle homelessness.

Councils in Wales were given the powers to charge homeowners up to 300% extra Council Tax on long-term empty homes and second homes.  Welsh Government has introduced these new powers to help Councils to encourage homeowners to not unnecessarily leave their properties empty and unoccupied for long periods of time and to bring long-term empty and second homes back into use for the benefit of the local community and economy.

Related documents

Contact

Department/ service area:

Finance And Audit Service

Full address:

Russell House
Churton Road
Y Rhyl
LL18 3DP

Contact:

Gwasanaeth Refeniw / Revenues Services

Contact numbers:

Phone:01824 706000