Decision on North Yorkshire second home council tax hike delayed

There are a large number of second homes in coastal towns like Scarborough

Plans to double council tax on second homes in North Yorkshire have been delayed to ensure there are no loopholes in the policy.

North Yorkshire County Council agreed to postpone considering a policy to charge a 100% premium on second homes.

The move is part of the authority's attempts to stop locals being priced out of the property market.

The council's executive said it wanted certainty second home owners could not swerve the extra costs.

The government is currently considering legislation to bring in premiums on council tax bills for second homes.

Although it has not yet been approved, the North Yorkshire authority has been considering its stance on the move should the government agree to proceed.

According to the National Housing Federation, there are 8,199 second homes in North Yorkshire.

Concerns have been voiced it is undermining the availability of housing for local communities as well as inflating property prices.

The council said revenue from the council tax premium would provide a key source of funding

Bringing in a premium would be seen as a way of tackling this trend as well as a much-needed new source of funding for the council.

However, critics have claimed it could lead to council tax receipts falling as second home owners could transfer the property to a holiday cottage business or swap the named owner's details for someone else.

Councillor Gareth Dadd, executive member for finance, said the authority was not "going soft" on the policy before it was adopted, according to the Local Democracy Reporting Service.

He said it wanted certainty that second home owners could not use loopholes to undermine what the council wanta to achieve.

During Tuesday's meeting, the executive approved following other councils in North Yorkshire in introducing the maximum permitted council tax premiums on empty properties.

The policy means properties left unoccupied and substantially unfurnished for two years or more, will have to pay 100% extra council tax from April, while those with properties that have been empty for 10 years or more, will have to pay three times their main residence council tax bill.

Councillors heard the introduction of the policy in Ryedale had been successful in bringing them back into use.

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