Vale of Glamorgan Council Stands Firm on Housing Tax Policy
Vale of Glamorgan Council has reaffirmed its commitment to enforcing a council tax premium on certain properties, despite mounting concerns that homeowners undergoing renovations are inadvertently falling foul of the policy. The council took the decision to uphold the policy during a meeting on January 13, where they voted to continue charging a council tax premium on both long-term empty homes and second homes. Under this policy, properties that have been vacant for up to 24 months face a doubled council tax charge, while those empty for up to 36 months incur a 150% premium. Properties vacant for over 36 months are subject to a 200% council tax premium. The primary objective behind implementing these premiums is to encourage the redevelopment of empty properties into permanent residences for families and individuals in need.
Cllr George Carroll, the leader of the Conservative group at Vale of Glamorgan Council, expressed overall approval for the initiative aimed at revitalising long-standing vacant homes. However, he voiced his reservations about the current execution of the policy after being approached by a constituent who found themselves unwittingly affected by it. Cllr Carroll cited a case involving a first-time buyer residing with their parents while renovating a property, only to face a substantial council tax bill due to delays in the renovation process. He argued that such unintended consequences could deter potential buyers from investing in properties in need of repair, ultimately hampering efforts to address derelict properties. The council introduced a 100% council tax premium on second homes from April 1, 2024, following the approval of the premium levy plans in 2023.
Contrary to Cllr Carroll’s reservations, Cllr Ian Johnson, the Plaid Cymru group leader at the council, expressed support for maintaining the council tax premium policy, highlighting the positive impact it has had in reviving dormant properties for permanent residency. A council report revealed that initially, 402 second homes were earmarked for premium charges, a figure which escalated to 508 properties by November 2023. However, as of present, only 339 properties have been subjected to the 100% premium for second homes. Despite these efforts, the council faces a staggering demand for housing, with nearly 7,000 individuals on the council housing waiting list by the end of 2024.
Cllr Lis Burnett, the leader of Vale of Glamorgan Council, emphasised the necessity of addressing the housing shortage within the region, underscoring the council’s active participation in programmes like the empty homes grant scheme. This scheme supports property owners in refurbishing long-vacant houses, thereby expanding the available housing stock and ensuring quality accommodation. Cllr Burnett highlighted success stories within her ward where former blighted properties have been transformed into habitable residences, contributing positively to the local housing inventory.
The council’s unwavering stance on the housing tax policy signifies a bold step towards rectifying the housing crisis and repurposing neglected properties for community benefit. While concerns linger regarding the inadvertent implications on renovating homeowners, the overarching goal of revitalising vacant properties for permanent occupancy remains paramount. As discussions around the policy evolve, striking a balance between incentivising property refurbishments and safeguarding homeowners from unintended financial burdens will be crucial in ensuring a fair and effective implementation of the council tax premiums. The ongoing efforts of Vale of Glamorgan Council to address the housing challenges underscore a proactive approach towards building sustainable communities and providing secure residential options for its residents.