Second homes and empty properties
- What is a second home
- What is an empty property
- What is a long term empty property
- What is a premium
- What is a sole or main residence
- Second home premium
- Second home premium exceptions
- Empty home premium
- Empty home premium exceptions
- Property being used as a holiday let
- Discretionary reduction
- Appeals against a premium
What is a second home
A residential dwelling which is substantially furnished and not occupied as anyone's sole or main residence for council tax purposes.
What is an empty property
A residential dwelling which is substantially unfurnished and not occupied as anyone's sole or main residence for council tax purposes.
What is a long term empty property
A residential dwelling which has been empty for at least two years which is substantially unfurnished and not occupied as anyone's sole or main residence for council tax purposes (from 1 April 2025 a dwelling that has been empty for over 12 months is considered long-term empty).
What is a premium
A premium is an amount which is added to the normal council tax charge. This is normally a percentage of the standard charge.
What is a sole or main residence
The law does not give a definition of sole or main residence. When deciding what property is your sole or main residence, and whether a property should have the second home premium applied, the council will consider the following factors;
- Whether a property is considered to be a main residence.
- Where a taxpayers spouse/partner or family lives.
- Where a taxpayers children are educated (if they have children of school age).
- Where a taxpayers employment is based.
- Which property the taxpayer ultimately intends to return to (if liable for two properties).
- Where the majority of the taxpayers personal belongings are kept.
- Which address has been declared to the home insurance provider as being the taxpayers main residence.
- Security of tenure at each property (owner, tenant, license to occupy).
- Where the taxpayer is registered to vote.
- Where the taxpayer is registered for their GP.
- The address the taxpayer has declared to DVLC & their motor insurance provider as being their main residence.
Second home premium
Chichester District Council decided in March 2024 that all dwellings which are substantially furnished and not occupied as a main residence (commonly referred to as second and holiday homes) would be charged an additional 100% on their council tax from 1 April 2025.
This decision was made in line with new flexibilities that were provided to local authorities in the Levelling up and Regeneration Act 2023.
The premium is an additional amount of council tax to be paid on top of the standard council tax bill. The premium will be added to your council tax if your property is considered to be a second home from 1 April 2025, or, the first day that your property is considered to be a second home. There is no requirement for a property to have previously been used as a second home for any set amount of time for a premium to apply.
Second home premium exceptions
If your property is already exempt from council tax it will also be exempt from the second home premium.
There are also some exceptions to the second home premium. If your property meets the criteria, from 1 April 2025 you will be able to make an application for your property to be considered for one of the exceptions. You may be required to provide evidence to show that the eligibility criteria has been met. The exception classes, criteria, and length of exception are shown below.
Table of exceptions
| Exception Class | Category of property | Length of exception |
|---|---|---|
| Class E | Property that would be or is someone's sole or main residence if they were not residing in job-related armed forces accommodation. | No time limit |
| Class F | Annexes forming part of, or being treated, as part of the main dwelling. | No time limit |
| Class G | Property that is actively being marketed for sale. | 12 months from date being actively marketed from |
| Class H | Property being actively marketed for let. | 12 months from date being actively marketed from |
| Class I | Unoccupied dwellings which fell within exempt Class F and where probate has recently been granted | 12 months from date probate is granted or letters of administration issued |
| Class J | Where a qualifying person in relation to that dwelling is a qualifying person in relation to another dwelling in England, Wales or Scotland which for that person is job-related. | No time limit |
| Class K | Chargeable dwelling in England which consists of a pitch occupied by a caravan, or a mooring occupied by a boat. | No time limit |
| Class L | Dwelling in England, the occupation of which is restricted by a planning condition which is
| No time limit |
Apply for a second home premium exception
Apply for a second home premium exception (opens new window)
Empty home premium
Currently there is no discount available for empty properties. Additionally any property that is considered long-term empty will attract a premium.
Chichester District Council also decided that from 1 April 2025 a premium will be added to properties that have been empty for one year.
| Period of time property has been empty | 2024/25 financial year | 2025/26 financial year |
|---|---|---|
| Up to 1 year | No premium | No premium |
| 1 to 2 years | No premium | 100% premium |
| 2 to 5 years | 100% premium | 100% premium |
| 5 to 10 years | 200% premium | 200% premium |
| Over 10 years | 300% premium | 300% premium |
Empty home premium exceptions
If your property is already exempt from council tax it will also be exempt from the empty home premium.
There are also some exceptions to the empty home premium. If your property meets the criteria, from 1 April 2025 you will be able to make an application for your property to be considered for one of the exceptions. You may be required to provide evidence to show that the eligibility criteria has been met. The exception classes, criteria, and length of exception are available to view:
| Exception class | Category of property | Length of exception |
|---|---|---|
| Class E | Property that would be or is someone's sole or main residence if they were not residing in job-related armed forces accommodation | No time limit |
| Class F | Annexes forming part of, or being treated, as part of the main dwelling | No time limit |
| Class G | Property that is actively being marketed for sale | 12 months from date being actively marketed from |
| Class H | Property that is actively being marketed for let | 12 months from date being actively marketed from |
| Class I | Unoccupied dwellings which fell within exempt Class F and where probate has recently been granted | 12 months from date probate is granted or letters if administration issued |
| Class M | Empty dwellings requiring or undergoing major repairs or structural alterations | 12 months |
Apply for an empty home premium exception
Apply for an empty home premium exception (opens new window)
Property being used as a holiday let
The rules regarding whether you will pay business rates changed on 1 April 2023 and are now based on the number of nights your property is available to let each year as a holiday let, and how many nights it was actually let.
The Valuation Office Agency decide whether your property will be moved from the council tax valuation list to the business rates valuation list. They will also decide the rateable value of your property based on its type, size, location, quality and how much income you're likely to make from letting it.
If you want to request that your property be transferred into the business rates valuation list you should contact the Valuation Office Agency directly.
You can find full details regarding this by visiting holiday accommodation page.
Until we are advised of any change to the way your property is listed you must continue to pay your council tax, including any premium applied.
Discretionary Reduction
In exceptional circumstances where it is not possible to occupy a property and where paying an additional premium would cause extreme hardship to the taxpayer, the council will consider an award of hardship under section 13a of the Local Government Finance Act 1992 which provides local authorities with discretionary powers to enable it to reduce a council tax liability to nil.
Section 13a council tax discretionary application form
Appeal against a premium
Should you disagree with a premium being added to your council tax account, or, being refused an exception to a premium, then you do have the right to appeal this decision.
You cannot appeal the percentage of premium applied, nor that Chichester District Council has agreed a premium for second or long-term empty homes but can appeal against the class your property has been listed as. In other words you can appeal that your property has been listed as a second home or long-term empty, and therefore liable for the premium.
In the first instance an appeal must be made to Chichester District Council, giving reasons why you believe your property is not considered to be a second home or long-term empty home, or, that you have been refused an exception from the premium.
The law allows us two months to provide you with a decision notice from the date the appeal was received.
If the appeal is refused, and you still disagree with the decision, or do not receive a decision within two months, then you can appeal to the Valuation Tribunal Service, who are independent to the local authority. Any appeal must be made within two months of the date we issue the decision notice.
Should you decide to appeal to the Valuation Tribunal Service, payment must continue to be made in accordance with your latest bill.
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