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Wales Online
Wales Online
National
Ryan O'Neill

Welsh Government to hit second homes with new changes to planning, taxation and licensing rules

The Welsh Government is set to announce a new package of measures aimed at tackling second homes in Wales. First Minister Mark Drakeford and the leader of Plaid Cymru Adam Price will announce a new package of measures to address second homes at a joint press conference on Monday, July 4.

The measures will include changes to planning, taxation and plans for a new licensing scheme for holiday lets in Wales. The first minister and Mr Price will also give an update on the action being taken to ensure people are able to afford to live in their local community, including both renters and buyers.

It comes as experts and locals across Wales have raised issues with the growing proportion of houses being used as holiday lets, which many claim has impacted on some areas and resulted in people being forced to leave as they are unable to afford to live there.

Read more: Second homes and over-run services: The huge problems people say Wales is facing over its changing population

Last year WalesOnline covered one of the parts of Wales with the most second homes. On the Llŷn Peninsula in Gwynedd increased house prices have meant that a younger population is being priced out and family homes are left empty. More than 5,000 properties there are registered as second homes - 8.15% of the total housing stock. You can read more about that here.

Traeth Morfa Nefyn on the Pen Llŷn peninsula in Gwynedd, north Wales (Haf Jones and Pegler)

In March the Welsh Government announced tough new rules aimed at combating the number of second homes in rural Welsh communities including an increase to the maximum level of council tax premiums for second homes, as well as new local tax rules for holiday lets.

Currently any holiday house that is let out for more than 70 days a year – and is available to be let out for more than 140 days a year – can pay business rates instead of council tax. Under new rules coming into effect next April, holiday homes will have to be let out for more than 182 days a year and be available for let for upwards of 252 days a year to qualify for the exemption.

The issue even prompted one Welsh-speaking owner to say second home owners who speak Welsh should be given preferable treatment when it comes to taxing those with two homes. You can read more about that here.

Some councils already have measures in place to clamp down on holiday lets. Currently Pembrokeshire lumps a 100% rise on council tax on second homes and the council is considering raising this to 300% next year, while there are similar measures in Gwynedd and Swansea.

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