Colchester City Council is set to introduce a new Second Home premium on Council Tax bills, effective from 1 April 2025. This initiative, approved at the Full Council meeting on 21 February 2024, is in line with the Levelling-up and Regeneration Act 2023, which allows councils to impose an additional charge of up to 100% on second homes.
The Second Home premium aims to encourage the use of second homes, whether by renting them out, selling them, or converting them into permanent residences. This measure is also expected to generate additional income for the Council, which can be reinvested into local services.
Residents who were recorded as potentially having a second home in Colchester were notified of this change via email or post in March 2024, providing them with a 12-month notice period.
A second home, for Council Tax purposes, is defined as any furnished property that is unoccupied and not used as anyone's main residence. The 100% premium will effectively double the Council Tax charge for such properties. However, there are several exceptions to this premium, more information on these can be found on the Government website.
Cllr Mark Cory, Deputy Leader of the Council and Portfolio Holder for Resources, said: “The introduction of the Second Home premium is a significant step towards ensuring that properties are used effectively and that we can generate much-needed revenue for the community. This policy will help address the issue of empty homes and encourage property owners to make better use of their assets.”
Page last reviewed: 14 February 2025