Technical reforms to Council Tax: when dwellings should not be liable to the empty homes premium

The Local Government Finance Act 2012 allows a billing authority to charge an empty homes premium to provide a stronger incentive to get homes back into productive use and remove the blight of such properties on local neighbourhoods.

The premium was subject to a consultation, ‘Technical Reforms to Council Tax’, which ended on 29 December 2011. The government published its response on 28 May 2012, which confirmed its intention to proceed with the premium and stated that:

• it will not be payable until a dwelling has been empty and unfurnished for 2 years
• the maximum premium that an authority will be able to charge will be 50%

This consultation invited views on the government’s proposals on exceptions to the premium: dwellings which may otherwise be liable for the premium, but which are subject to circumstances that mean that it would not be appropriate for it to apply.

The summary of responses was published on 21 November 2012.