‘Double council tax on empty homes to ease crisis’

DOUBLING the council tax on England’s 205,000 empty homes could bring thousands back into use and ease the housing crisis, according to town hall chiefs.

And hitting absentee owners with tax bills of almost £5,000 for each B and D property empty for at least a decade would also raise more money for cash-strapped councils.

Today the Local Government Association is urging peers in the House of Lords to back an amendment to the Rating and Council Tax (Empty Dwellings) Bill to give councils the power to increase the empty homes premium thresholds on council tax bills for homes left empty for between two and five years from 50 per cent to up to 100 per cent.

For homes empty for five to 10 years, councils would be able to raise the premium by up to 200 per cent and up to 300 per cent for homes empty for 10 years or more.

The council tax bill for the average B and D property is £1,671. An extra £861 could be levied on all those vacant for more than two years, £2,659 for those empty for over five years and £4,565 for homes empty for at least 10 years. Cllr Richard Watts, chair of the LGA’s Resources Board, said: “When we face a chronic housing shortage across the country it is wrong for so many homes to be left empty. Councils work hard to address the issue but the existing powers open to them are complex and difficult to use.

“Providing councils with the ability to charge more for empty homes would be a hugely positive measure which will enable councils to incentivise owners of long-term empty homes to bring them back into use.”

Calling for other powers to help solve the housing crisis, he added: “All councils should be able to borrow to build and keep 100 per cent of any Right to Buy homes that are sold to boost the supply of genuinely affordable homes with the necessary infrastructure.”

Latest Government figures show that English local authorities recorded more than 205,000 homes empty for more than six months – over 5,000 more than a year earlier.

Empty Homes director Helen Williams said: “Building new homes is essential, but so too is making the most of our existing properties.

“The Government needs to explore additional measures to stop people buying and holding on to properties not to live in but to store and grow their wealth.”