While the council tax premium for second homes in Pembrokeshire is dropping, the rate for many empty properties in the county is set to rise - with discussion points at a meeting of the Local Authority this month highlighting a property in Tenby which had been derelict for some 20 years!
Second homes in Pembrokeshire, from the next financial year, have a council tax premium of 150 per cent above the standard rate, following an agreed reduction from a 200 per cent premium earlier this year; to take place in the next financial year.
Long-term empty properties in the county are also currently charged a premium council tax rate: 100 per cent after 24 months, 200 per cent after 36 months, rising to 300 per cent.
During the October decision to lower the second homes rate, the rate for empty properties was also discussed, with a proposal by Cllr Alan Dennison to change the empty property premium to 300 per cent after two years, a matter that was deferred to the December meeting of full council.
At the December 12 meeting, members heard a more simplified rate system for empty properties was being proposed, 300 per cent for properties empty more than two years, which was moved by Cabinet member for finance Cllr Joshua Beynon.
A report for members calculated this change would bring an extra £663,000 to council coffers in the next financial year.
The report added: “The long-term empty properties council tax premium contributed £1.67m to the elements of the council’s budget relating to affordable housing and enhancing the sustainability of local communities during 2024-25. Current projections are for £1.65m of this to be collected during 2024-25.
“Any reduction in the long-term empty properties council tax premium or the level used to contribute to elements of the council’s budget relating to affordable housing and enhancing the sustainability of local communities would result in a reduction in income and an increase in the pressures and funding gap for 2025-26.”
The proposal, which includes various discretionary exemptions, was one of several options in a report for members, including a 250 per cent rate after two years, which was moved by Cllr Dennison, who asked that applications for exemptions be looked at “sympathetically on a case-by-case basis.”
Voices of concern to the proposed increases were raised by both Cllr Mike Stoddart and Cllr Viv Stoddart, saying the current rates were “savage enough,” and “punitive”.
Cllr Stoddart said there were many legitimate reasons why properties could be empty long-term.
However, other councillors, including David Bryan and Cllr Michael Williams agreed empty properties were a blight for neighbours. Cllr Williams, county councillor for Tenby’s north ward raised the issue of a property in Tenby which had been derelict for some 20 years, stating: “The legislation is totally inadequate, it must be 300 per cent.”
The 250 per cent rate amendment was defeated by 44 votes to 10; the 300 per cent rate passing by 44 votes to five.