Owners around Morecambe and Lancaster could be paying an extra council tax premium from 2024
Owners of around 1,000 second homes or empty properties around Morecambe and Lancaster could be paying an extra council tax premium from 2024, in a move aiming to address local housing needs and raise extra council income.
Away from tax, the city council may have other powers, such as in planning, which could limit the number of holiday homes or Airbnbs in any particular area, councillors heard. Coun Whitehead said: “This will allow councils to raise additional revenue and deal with the second homes issue. If it comes into law, it will be in 2024. The aim is to allow a council tax premium of up to 100 per cent. Initial analysis shows over £1.7million could be raised through this in our district, which would be shared across the different preceptor authorities.
“Can the council confirm if Airbnb properties would be treated as as second homes? Evidence from St Ives and Barcelona is that Airbnb properties can have just as negative effect as second homes. With changes in Morecambe such as the Eden Project, there have been suspicions that we could get Airbnb properties that could have a negative impact.”Coun Whitehead said:”There is no official definition and the government’s is a bit vague.
In reply to the various points, Coun Whitehead said people with properties registered for business purposes, rather than residential use, would pay tax through a different system. Tenants not paying rent or tax were different issues to second homes or empty properties and there were other ways to deal with such situations.
“Also the Local Government Association has been doing a lot of work about second homes, Airbnb and student flats. I also imagine we will be having talks with councils such as Cornwall about what they do? One of my contacts said as soon as new rules are put in place, some property owners find ways round them.”
But Coun Whitehead said: “You should support this because this is your [Conservative] government’s bill.” ‘WE NEED TO TAKE ACTION’ Green Coun Tim Hamilton-Cox said: “This is an enabling motion only. There will be ample time to answer all the questions before it comes into effect. It could be overturned if need be.
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