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Home Resident Council Tax Council Tax Premium Update

Council Tax Premium Update


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Council Tax Premiums

Notice is hereby given that Conwy County Borough Council, at its meeting on 17th October 2024 in accordance with section 12a and 12b of the Local Government Finance Act 1992, as inserted by section 139 of the Housing (Wales) Act 2014, made the following determinations:

(i)  Charge a 150% Council Tax Premium for second homes from 1 April 2025

(ii)  Charge a 200% Council Tax Premium for long term empty homes that have been empty for up to 5 years or less from 1 April 2025

(iii) Charge a 300% Council Tax Premium for long term empty homes that have been empty for 5 years or more from 1 April 2025

(iv) Agree an indicative level of premium of 200% on both categories from 1 April 2026, with an increased premium of 300% for long term empty properties which have been empty for 4 years or more, subject to review during 2025/2026


Section 12A: higher amount for long-term empty dwellings


A long-term empty dwelling is defined for the purpose of this section as a dwelling which is both unoccupied and substantially unfurnished for a continuous period of at least 1 year.

Section 12B: higher amount for dwellings periodically occupied

A second home is defined for the purpose of this section as a dwelling which is not a person’s sole or main home and is substantially furnished. These dwellings are referred to in the 1992 Act as dwellings occupied periodically but they are commonly referred to as ‘second homes’.

Exceptions

Some properties can claim an exception from the Council Tax premiums:

Class 1 – properties being marketed for sale, with a time limit of 1 year

Class 2 – properties being marketed for let, with a time limit of 1 year

Class 3 – Annexes which are part of the main property

Class 4 – Properties which would be someone’s main residence if they were not living in armed forces accommodation

Class 5 – Occupied caravan pitches and boat moorings

Class 6 – Seasonal homes or holiday lets where year-round or permanent occupation is prohibited

Class 7 – Job-related homes


Council Tax Premiums - Income and Spend

How is the money collected from the Council Tax premiums in Conwy spent?

For the financial year 2023/24

The number of properties subject to a premium are shown below:

Long term empty properties = 711 (679 in 2022/23)

Furnished properties that are not a person’s sole or main residence (commonly known as second homes) = 1,641 (1,528 in 2022/23)

Amount of income generated for both classes of properties as defined above = £2,140,624

Whilst the levying of the Premium has the potential to generate additional revenue it is intended to be a tool to:

  • Bring Long-Term Empty Homes back into use
  • Increase the supply of affordable housing
  • Enhance the sustainability of local communities
  • Help meet local housing needs.

Additional income received from the charging of Council Tax premiums, is in line with Welsh Government expectation, directed to the housing budget of the Council and therefore primarily supports our corporate priority ‘People in Conwy have access to affordable, appropriate, good quality accommodation that enhances the quality of their lives’.

For more information:

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