Holiday lets and second home owners in Wales are to pay higher taxes under ambitious plans being drawn up by the country’s government.
It has set its sights on the unfairness of the housing sector and wants owners to make a fairer contribution to the communities where they own property.
It also wants to set up a registration scheme for all holiday accommodation and has promised to engage with stakeholders on the shape of the model, including both the registration and inspection arrangements.
A consultation on changes to local taxes to manage the impact of second homes and self-catered accommodation will start during the summer, with a pilot area set to trial and evaluate these new measures before wider rollout.
Last year, Wales became the only country in the UK to give local authorities the power to charge 100% council tax increase on second homes.
In the Senedd later today, Minister for Climate Change Julie James (pictured, below) will set out a three-pronged approach to address the impact of second home ownership on communities.
She says the continuing rise of house prices mean people, especially younger generations, can no longer afford to live in the communities they have grown up in.
“A high concentration of second homes or holiday lets can have a very detrimental impact on small communities, and in some areas could compromise the Welsh language being spoken at a community level,” adds James.
“The urgency and gravity of this situation calls for further intervention, which means real and ambitious actions are delivered at pace, to inject fairness back into the housing system.”
A Welsh Language Community Housing Plan, to protect the particular interests of Welsh language communities, will also be published for consultation in the autumn.
Read more about holiday lets in Wales.
Watch the statement by Julie James after 1.30pm today (6th July 2021)
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