Second homes Council Tax premium consultation

Closed 22 March 2023
Opened 10 February 2023

Derbyshire Dales District Council is consulting on potential changes to the amount of council tax that is charged on second homes. A second home is defined as a dwelling that is not a person’s sole or main home and is substantially furnished. Second homes are sometimes referred to as holiday homes.


The Regeneration and Levelling Up Bill will introduce a new power for Local Authorities to increase council tax on second homes by 100% (double the amount owners currently pay). The Bill is due to receive Royal Assent on the 1st April 2023 and Local Authorities are able to charge the higher premium from the 1st April 2024. Councils can decide the level which is appropriate for their individual local circumstances and can set the premium at any level up to the maximum.

1 in 20 homes in Derbyshire Dales are not used for the purpose of permanent accommodation, and instead are used as second homes, holiday lets or are empty. It is thought that second homes can add to house price inflation and put local people at a disadvantage when existing homes come on the market. The Council Tax Premium for second homeowners may encourage them to sell their properties or may well put off future buyers wanting to purchase existing traditional homes as second homes.

The Consultation

The Council is consulting residents and stakeholders on the proposal to introduce the Council Tax Premium on second homes.

If you are an owner of a second home, we would like to understand more about your views and the impact you feel second homes have on the community. We would also like to understand the views of local people affected by second homes and the views of the wider housing sector. If the Council Tax Premium was to come into effect, the council would receive additional council tax income. It is also important for us to understand your views on what you feel this money should be spent on. Please note, the Council Tax Premium on second homes does not apply to holiday lets that are charged business rates. If you own a second home that is available to let for 140 days or more in the calendar year, it should be valued for holiday let business rates and not council tax rates. These properties will not be subject to the Council Tax Premium.

Take part in the consultation here.

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