Agenda item

That the Committee supports the proposals to introduce the Council Tax Premium set at a level of 50%.

The Chief Officer (Community and Enterprise) introduced a report to seek the introduction of a local scheme to charge council tax premiums for long term empty property and second homes.  She commented on the need to bring long term empty property and second homes back into use to address local housing need by increasing the supply of housing in the County.  She reported that Council records indicated that  there were currently  888 properties identified as being long term empty or second homes in Flintshire.  The Chief Officer advised that if the proposal to introduce the Council Tax Premium from April 2017 was approved at Council, an effective communication strategy would need to be developed to communicate more widely with taxpayers throughout 2016, particularly with those who might be affected from April 2017.  She explained that full information would also be provided to all homeowners to signpost them to the services available from the Council to assist them to bring their properties back into use and minimise the impact of the introduction of the premium.

                        The Chief Officer invited the Revenues Manager to give an overview of the proposals to introduce the Council Tax Premium.  The Revenues Manager explained that the introduction of the Housing (Wales) Act 2014 gave local authorities in Wales the discretion to charge a council tax premium of up to a 100% on long term empty properties and properties that were second homes/holiday homes from April 2017.  The proposal was to adopt a 50% premium for the first year of implementation which would be consistent with other local authorities across the region.  The Revenues Manager reported on the key considerations as detailed in the report and advised that the earliest a premium may be charged was from 1 April 2017.  In the case of long term empty homes the premium may only be imposed after the property had been empty and substantially unfurnished continuously for a period of 12 months or longer.  The Council Tax system already provided a number of specific exemptions for unoccupied properties which were not impacted by the introduction of the premium so not all empty homes would be automatically subject to a premium.  In addition the Council Tax (Exceptions to Higher Amounts Wales) Regulations also sets out the circumstances where it is not possible for local authorities to charge a premium on long term empty property or second homes. 

                        Councillor Aaron Shotton commented on the need to do everything possible to increase the level of affordable homes within the County.  He referred to the number of applicants on the social housing waiting list and the high number of long term empty properties within Flintshire and said it was appropriate for the Authority to undertake the interventions available to it to encourage homeowners to bring those empty properties back into use to fulfil the need for affordable housing within the County.  He referred to the  continuing exemptions in place to safeguard homeowners who had genuine reasons for retaining an empty property.  Councillor Shotton also referred to the linkages with other strategies within the County, citing North East Wales Homes as an example, to address the impact of the possible introduction of a premium and provide practical help to owners of long term empty homes.

                        Councillor Paul Shotton supported the proposal which he said would help address the housing shortage in Flintshire and was consistent with the stance adopted by other local authorities. 

                        In response to a question from Councillor Alison Halford concerning the additional safeguards and resources to be put in place to mitigate tax avoidance or evasion, the Revenues Manager explained that the intention was to utilise a  person from within the existing workforce.

                        Councillor Peter Curtis asked if the proposal could be extended to include commercial properties to regenerate economic growth in local communities. 

                        Councillor Gareth Roberts also spoke in support of the proposals and commented on the blight and nuisance caused to neighbouring properties by empty properties in the community. 

            RESOLVED:

That the Committee supports the proposals to introduce the Council Tax Premium set at a level of 50%.