Since April 2025, councils in England have had the power to charge a council tax premium of up to 100% on second homes. Around 250 councils have already introduced the premium, with more expected to follow. So, why are councils applying these premiums? According to the 2021 Census, 172,545 dwellings in England and Wales were classified as second homes with no usual residents. While second homes are not considered empty properties, they can remain unoccupied for significant periods of the year. Overall, this can reduce the availability of housing for residence and place additional pressure on the housing market.
What is the difference between second homes and empty properties?
A long‑term empty home is a property that has been unoccupied and unfurnished for over six months. Long-term properties can be identified by some of these signs:
- Visible deterioration to the property. This can include peeling paint, broken windows or a damaged roof.
- Piled up posts in the letter box or left on the doormat.
- An unused car sitting on the driveway, broken or with flat tyres.
- Curtains or windows that are always closed or covered up.
- No signs of activity, such as no lights on at night or no bin during collections.
- An overgrown garden that makes it difficult to access the property.
Whereas a second home is a furnished property that you own, but it is not used as anyone’s primary residence. During holiday periods, people may spend more time in their second homes. Since these properties aren’t always occupied between visits, neighbours or the local council may assume they are empty properties.
Why do people buy second homes?
Many people buy a second home for various reasons. For some buyers, it’s a place to enjoy seasonal weather or a property they plan to retire to in the future. Others view a second home as an investment opportunity or simply a convenient when working away from their primary residence.
Why are councils applying premiums?
Councils apply premiums to empty properties to discourage homes from being left unoccupied. When a property remains unused for an extended period, it can have a negative impact on the surrounding area. Empty properties can create issues for neighbouring homes, such as pest infestations, water leaks and can even affect surrounding property values.
On the other hand, a high amount of second homes within a community can affect residents and the overall activity of the area. The premium is intended to help address local housing shortages and preserve housing availability for permanent residents.
Final thoughts
While second homes are not classified as empty properties, they are often mistaken for them when left unoccupied for long periods. By introducing second home premiums, councils can encourage better use of existing housing stock and support local communities.
If you live near a property and are unsure whether it is empty, please report it to us. Reporting a potentially empty property is completely free and only takes a few moments. If your report successfully meets our criteria, we offer a £20 referral reward. For more blogs like this click here!
