Homes that sit empty for a long time will pay double council tax from April, the government has announced.
The Department for Levelling Up, Housing and Communities says the move is to support local people in areas where high numbers of empty homes are preventing them from finding affordable housing.
The decision could affect the value of homeowners second properties and leave them questioning "how much is my house worth".
100% council tax rise for homes empty for 12 months
The rules will apply when a property has been empty for 12 months, rather than the current two years, potentially affecting anyone renovating a house.
The empty homes premium was introduced in 2013 to encourage owners to bring empty properties back into use, but numbers continue to rise across England, Scotland, and Wales.
Councils will also be given new powers to introduce the tax premium on second homes in their area from next year.
Who will be exempt from the rise?
A “very limited number” of exceptions have been set out following a public consultation, which officials say will ensure the changes are fair to homeowners.
These will apply to empty properties that are uninhabitable due to extensive renovation and second homes that are not available for use year-round due to planning restrictions.
They will also incorporate homes that have been inherited for up to a year to prevent families who are grieving from having to pay.
Why was this introduced?
Minister for Local Government Simon Hoare said: “Long term empty properties are shutting local families and young people out of the housing market as they are being denied the opportunity to rent or buy in their own community.
“So, we are taking action as part of our long-term plan for housing. That means delivering more of the right homes in the right places and giving councils more powers to help give local people the homes they need.”
A report commissioned by the Local Government Association revealed more than one million properties across England in 2022 were unoccupied (4.01% of all dwellings), an increase of nearly 60,000 homes since 2018, whilst and 104,000 households living in temporary accommodation.
Earlier this month it was revealed that house prices rose by 0.4% in February, marking the fifth consecutive monthly increase, according to Halifax.
