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Thursday, Mar 06, 2025

London to Implement Double Council Tax for Empty and Second Homes

London to Implement Double Council Tax for Empty and Second Homes

New Measures Aim to Increase Revenue and Address Housing Crisis in London Boroughs
Thousands of homeowners in London will see their council tax bills double from April under newly introduced regulations intended to boost revenue and tackle the ongoing housing crisis.

Effective from April 1, several London boroughs, including Wandsworth and Westminster, are set to increase council tax charges by 100% for properties that remain unoccupied and unfurnished for more than one year, previously applied only after two years.

The new rules will also affect second homes, with taxes rising to twice the standard rate.

A standard Band D second home in Wandsworth, for instance, will incur an annual charge of approximately £1,500, factoring in the City Hall precept used to fund essential services like the Metropolitan Police and London Fire Brigade.

Exemptions are in place for residents occupying second homes due to job requirements, such as caretakers or military personnel.

However, homeowners using a second property in central London for convenience will face increased charges.

These changes align with measures already in place in Hackney since April last year and follow Westminster's strategy, where long-term empty homes face a 200% premium after five years and a 300% premium after a decade.

Wandsworth and Westminster, known for having the lowest council tax rates in England, are responding to a significant rise in second homes, which Wandsworth Council Leader Simon Hogg highlights as a contributing factor to local families struggling to find housing.

Last year, UK government guidelines empowered councils to double council tax on long-term empty and second homes, suggesting that additional funds could be reinvested in public services.

Research by the charity Crisis shows a substantial increase in long-term empty properties across all English regions since 2017, with London experiencing a 73% rise.

Official data indicates 34,327 long-term vacant properties in the capital last year, valued collectively at over £20 billion, amidst soaring rental prices.
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