New tax rules allowing council tax to double for second home owners have scared off property owners in Leicester, with numbers falling by more than 40% from 4,412 in 2022 to 2,624 now, according to government figures. are.
We are determined to tackle this problem. ”
However, this still represents 1/55th of the city's real estate. A spokesperson for the Department of Housing, Communities and Local Government said: “We understand the frustration in areas where many properties are used as second homes and are determined to address this issue.”
“That is why we are taking decisive action to protect our communities by giving councils the power to impose a council tax surcharge on second homes and increasing stamp duty for people buying additional properties. ”
Decisive action.
The Leicester City Council website states: “Beginning April 1, 2025, a regularly occupied property (often referred to as a “second home”) shall not be occupied unless the property is occupied and the property is fully furnished. If so, a 100 percent surcharge will be charged. ”
But outside the city, the situation is different. Melton Borough was the only borough to see any decline, with the number of second homes falling from 51 to 44.
And in Charnwood, the number of second homes increased over the same period, from 446 to 522. But to put this in context, county districts have a much lower proportion of second homes and fewer of them.
The city is not alone in seeing a sharp decline in the number of second homes as the tax hike approaches. A fight is currently underway to reduce their numbers in Wales.
