Council Tax for furnished, unoccupied properties
The Levelling Up and Regeneration Act 2023, gave councils the discretion to charge a Council Tax premium for properties which are furnished and are not occupied as anyone's permanent residence.
These properties are commonly used as second homes, where the owner lives elsewhere and the property in the New Forest is occupied periodically at weekends and/or holidays.
The Council Tax premium will be an additional 100% charge, on top of the full Council Tax for the property, and will take effect from 1 April 2025.
The decision to charge additional Council Tax in these circumstances is:
- to encourage owners of second homes to make their properties available to be used as a permanent residence to increase the housing supply for local households
- to raise additional revenue to support the vital services provided to our local communities
The additional Council Tax revenue will be roughly distributed as follows:
Organisation | Council Tax revenue percentage distribution |
|---|---|
| Hampshire County Council including specific funding for Adult Social Care | 70% |
Police and Crime Commissioner for Hampshire | 12% |
New Forest District Council | 9% |
Town and Parish Councils | 5% |
Hampshire and Isle of Wight Fire and Rescue Service | 4% |
The government has confirmed there will be some circumstances where the second homes premium will not apply, these are:
- second homes that are not available for use year-round due to planning restrictions, for example a property situated on a holiday park
- properties which have been inherited (a time limit may apply)
- properties being actively marketed for sale or rent (a time limit may apply)
When further details about these exceptions are known, we will update this page.
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