P&R row back on taxing unoccupied buildings in 2024

Derelict building Guernsey
Image caption,

The committee has decided to look at delaying the new taxes until 2025

At a glance

  • Policy and Resources has decided to look at delaying new property taxes for owners of derelict greenhouses and unoccupied buildings until 2025

  • Deputies approved an amendment to the 2024 budget by 32 votes to five

  • Proposals to reduce increases to property tax were also rejected

  • Published

Plans for a higher rate of property tax for owners of derelict greenhouses and unoccupied buildings in Guernsey could now be delayed.

Guernsey’s Policy and Resources Committee (P&R) wanted to use new high rates of property tax to try to encourage people to use these sites for things like housing.

However, after consultation with landlords, the committee has decided to look at delaying the new taxes until 2025, at least.

Deputies approved an amendment to the 2024 budget by 32 votes to five.

Image caption,

Deputy David Mahoney said more work was needed on the plans

The final proposals will still have to be voted on by States members.

P&R’s Property Lead Deputy David Mahoney said the deferral did not mean the committee did not still want plans to go ahead, but that more work was needed.

His committee originally announced it would be looking at introducing taxes on derelict glasshouses and unoccupied buildings in the 2023 budget.

“We’ve done what the assembly always tells us to do and have listened to the people impacted by this," he said.

Vice-President of the Development and Planning Authority Deputy Andy Taylor said he was disappointed in the move by P&R to delay the new higher rate of property tax.

“We’ve delayed another measure that was intended to penalise people who had unoccupied buildings, and it’s really sad for longer people will be able to leave their properties without facing increased TRP," he said.

“I was hoping these properties may end up being used for housing."

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Andy Taylor said he hoped "these properties may end up being used for housing"

Mr Taylor said he believed pressure had been put on P&R by landlords and that the department "have backed down to them".

He said: "That’s disappointing - people spoke out against GST and didn’t listen, while if landlords do P&R will amend their own propositions mid-debate.”

Proposals to reduce increases to property tax from Deputies Peter Roffey and David De Lisle were also rejected.

Mr Roffey also argued future increases to TRP (Property Tax) should not be above inflation moving forward until a way of deferring payments was introduced.

P&R has proposed on average that property taxes should increase by 17%, with lower increases for smaller properties and higher for larger properties.

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