Parliament has approved legislation which will allow councils in Scotland to charge double the standard rate of council tax on second homes.
Second homes were previously subject to a default 50 per cent discount on council tax, however, local authorities were able to apply the discount at their discretion.
The new legislation will allow councils to charge double the full rate of council tax on second homes and will match existing legislation for long-term empty homes.
At present in North Ayrshire, second home owners can receive a 50 per cent discount or a 10 per cent discount on an unoccupied, but furnished, property which is not in use as a holiday home.
North Ayrshire Council will consider its charges early in the new year.
A North Ayrshire Council spokesperson said: “We support the general policy of local authorities having the powers to apply a premium on council tax for second home ownership and similarly to have the powers to increase further any council tax premium on long-term empty properties.
“It is important that the forthcoming changes are delivered in a balanced manner which provide the council with the powers and allow us to address the issue of a lack of affordable housing – particularly on our island communities – while also protecting the tourism sector.
“We are currently preparing a report on this matter which will be presented to a meeting of full council early in 2024.”
Ross Greer MSP welcomed the new legislation, saying: “Too many people are unable to buy their own home in the communities they’ve grown up in whilst many properties in those same areas sit empty for most of the year. I’m proud that with Scottish Greens in government we’ve been able to introduce another important tool for tackling housing shortages in communities like Arran and North Ayrshire.
“Housing is a human right. Yet in North Ayrshire and Arran there are 1,527 perfectly good houses sitting empty for most of the year.
“We should all be able to access good quality, affordable homes. In North Ayrshire there are people being priced out of their own communities while others are stuck on waiting lists.
“With bold steps like this council tax change we will shift the balance away from second home ownership and free up more homes for those who really need them. It will also raise vital funds for schools and social care that people across our community rely on.
“This action on second homes comes on top of Green ministers’ work to cap private rents and protect tenants from eviction over the last year, as well as the new system of regulation for short-term holiday lets recently introduced and the system of permanent rent controls which we will introduce later in this parliamentary term.”
The new measures are expected to come into force by April 2024 and will affect approximately 24,287 second home owners in Scotland, including around 1,527 in North Ayrshire and Arran.
Ross Greer, Green MSP for the West of Scotland, welcomed the new legislation, saying it would raise funds for local services. No_B51ctax01_23_Ross_Greer