Glossary · UK

What is Council Tax Second Home Premium?

An additional council tax charge that councils in England, Wales and Scotland may levy on second homes and long-term empty properties.

Full Definition

Under the Levelling-up and Regeneration Act 2023, English councils gained the power to charge a 100% council tax premium on second homes (from April 2025) and on homes empty for more than one year (power pre-existing). The Welsh Government had already introduced a 300% premium for second homes and long-term empties. Scottish councils can charge up to 100% on second homes (Council Tax (Variation for Unoccupied Dwellings) (Scotland) Regulations 2013). The premium doubles the standard band D rate for that property. Local councils must give at least 12 months notice before introducing or increasing a premium, and must define second home and empty property in their scheme. Exceptions typically include: properties occupied for employment purposes (job-related accommodation), properties being renovated, properties recently inherited (grace period), annexes forming part of the main residence. Appeals against the classification can be made to the Valuation Office Agency (VOA) in England and Wales.