Council Tax for second homes
A dwelling is considered to be occupied periodically (a second home) if it is not the main residence of a person/s and it is substantially furnished.
From April 2026 we will charge a council tax premium on second homes. This means that from 1 April 2026 council tax will double on second homes a premium of 100%. For council tax purposes second homes are properties that are furnished but where no-one lives as their sole or main residence.
Exceptions to both the Empty and Second Homes Council Tax Premium
- Properties undergoing probate: The government will legislate to ensure that inherited properties will have a 12-month exception from the empty and second home premiums after probate or letters of administration have been granted. The property will be liable for the standard rate of council tax once the class F exemption has ended; but a premium cannot be levied for a 12-month period. Where there are cases that merit a longer exception period, or a higher level of discount, councils can continue to exercise their discretion.
- Properties being actively marketed for sale or let: The government will legislate to ensure that a 12-month exception to both the empty and second home premiums applies to properties that are actively marketed for sale or let. The exception would run from when the exception first applies until the end of the exception period or until the property is no longer actively marketed, sold, or let (whichever is sooner).
Exceptions to the empty homes premium only
- Empty properties undergoing major repairs: The government will legislate so that properties undergoing major repairs or structural alternations will have a 12-month exception from the empty homes premium.
Exceptions to the second homes premium only
- Annexes forming part of, or being treated as part of, the main dwelling: The government has now legislated to introduce an exception to the second homes premium for annexes which form part of a single property which includes at least one other dwelling. The exception will not apply to annexes where they are not being used as part of the main residence.
- Job related dwellings: The government has now legislated to introduce an exception to the second homes premium for job-related dwellings. This exception will not apply to cases where someone chooses to have an additional property to be closer to work while having a family home elsewhere or where an individual is posted to a new location but maintain their previous address.
- Occupied caravan pitches and boat moorings: The government has now legislated so that a pitch occupied by a caravan and a mooring occupied by a boat are an exception to the second homes premium.
- Seasonal homes where year-round or permanent occupation is prohibited or has been specified use: Where properties have planning restrictions or other conditions on occupation or use in place which prevent year-round occupation, the government has now legislated that such properties are an exception to the second homes premium.