Councils will be able to charge up to twice the normal council tax on properties considered second homes – which are furnished and not used as main homes – in their area.
Wandsworth and Westminster councils are to enforce the plan on April 1, in addition to doubling bills for owners of homes that have been unoccupied and unfurnished for more than one year, rather than after two.
Exemptions will apply to the empty home premium and individuals will not have to pay it provided the empty property is an annex or if the resident is a member of the armed forces, for instance, and has had to move into armed forces accommodation.
However, people who are living in a second central London property because it is convenient for their place of work will still be expected to pay the extra charge.
The plans follows similar ones enforced in the capital last April, when Hackney town hall signed off on doubling council tax premiums for the owners of empty properties and second homes.
In addition Simon Hogg, the leader of Wandsworth council, which launched a consultation on the matter last year, wrote on social media site X that the number of second homes in Wandsworth has doubled since last year.
“Too many local families can’t find a place to call home,” Mr Hogg said.
Council tax is a tax collected by local authorities, and is levied on homeowners and tenants not in homes in multiple occupation.
The money is paid to local authorities and they use the money to help pay for local services and amenities. Revenues go towards police forces, fire and rescue services, recycling and bin collection, improving parks and public spaces, and transport services.
How to check what council tax band you are in
The amount paid in each council tax band depends on the local authority. You can find out the council tax band for a home in England or Wales by looking up its address or postcode on the Government website.
You can ask to have the property re-evaluated if you believe the council tax band is too high for the address.
However, people can only request to have the council tax band re-evaluated not lowered. This implies that a council tax band may increase or decrease. People will need proof of being in the incorrect banding.
How is council tax measured?
Based on the value of a home at particular points in time, councils divide this tax into bands. For properties in England, council tax bands are based on the property’s value on April 1, 1991.
These are the council tax bands for England.
| A | Up to £40,000 |
| B | £40,001 – £52,000 |
| C | £52,001 – £68,000 |
| D | £68,001 – £88,000 |
| E | £88,001 – £120,000 |
| F | £120,001 – £160,000 |
| G | £160,001 – £320,000 |
| H | £320,001 + |
When is council tax not paid?
If you are selling a property on behalf of an owner who has died, you do not need to pay council tax until after you get probate so long as the property remains empty, according to the Government website.
After probate is granted, a council tax exemption may be provided for another six months, given the property is both:
- unoccupied;
- still owned and in the name of the person who died.
Some homes are not liable for a council tax bill as long as they remain empty, including those:
- of someone in prison (except for not paying a fine or council tax);
- of someone who has moved into a care home or hospital;
- that have been repossessed;
- that cannot be lived in by law, for example, if they’re derelict;
- that are empty because they have been compulsory purchased and will be demolished.
