Tax breaks for empty homes on way out

MORE than £2 million could be generated across Oldham if the Government relaxes rules on tax breaks for empty and second homes.

Discounts given to second homes and properties lying vacant suck millions out of the local economy and increase local taxes, ministers claim.

Councils will be given power to abolish discounts — increasing the council tax bill for those affected, but reducing it for everyone else by an average £20.

House of Commons figures suggest Oldham’s accounts would be boosted by £2.114 million if all discounts were ended.

Currently, an empty house undergoing major alteration or repair is exempted from council tax for up to 12 months. Councils will be able to set their own discount of between 100 per cent and nothing for 12 months After that councils can set a discount of between 0 and 50 per cent.

An empty unfurnished home is exempt for six months, after which there is a discount of up to 50 per cent. The Government is allowing councils to set their own, if any, discount.


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