Devon second home owners warned over new charge

"This premium is not being put in place to penalise second home owners"

North Devon Council is reminding residents with second homes in the district about changes to council tax charges. From 1 April 2025, properties deemed second homes will be charged a 100% premium, twice the standard rate.

The council has sent letters to the 2,246 affected properties in the district to remind home owners of the upcoming changes. The Levelling Up and Regeneration Act 2023 provided councils with the power to charge a premium in respect of second homes. Councillors agreed the premium on second homes in February 2023 to provide the 12 months notice required by the legislation. That decision was reconfirmed at a meeting on 17 January 2024 following the bill's royal assent.

For the purposes of council tax, second homes are properties that are furnished but no one's main residence. Additional revenue will be shared between the major precepting authorities in line with their share of the council tax.

Lead member for Housing at North Devon Council, Councillor Graham M Bell, said: "This premium is not being put in place to penalise second home owners. We hope by increasing council tax on second homes we can encourage individuals to release the home back onto the property market.

"In North Devon we see many families forced to leave the area due to a lack of available housing. This measure is part of an overall ambition to increase the overall supply of housing in the area. Alternatively, we would encourage second home owners to make North Devon their sole residence and become a closer part of our beautiful community.

"North Devon Council has committed to allocating the additional revenue raised by this premium directly into housing projects such as the provision of temporary accommodation for local families."

The council's Empty Homes Project allows owners of empty homes to rent out their property through the council's Private Sector Lease Scheme.

More information about the project and the scheme can be found on the council's Empty Homes Project webpages.

Information on how council tax is spent can also be found on the council's website.