Homeowners in England and Wales risk extra council tax charges of up to 300% if their property is left empty for over a year, according to leading audit, tax and business advisory firm Blick Rothenberg. The surcharges, known as “premiums”, can be levied by local authorities on top of standard council tax.
Matt Crawford, a partner at Blick Rothenberg, explains: “Council tax bills will be arriving on doormats in the coming months, but many people don’t realise that in England & Wales, local authorities can charge additional premiums when a property has been empty for some time. A 100% surcharge can apply if a home has been empty for over a year, rising to 200% once it passes the five-year mark and 300% if it stays unoccupied for more than a decade.”
For instance, on a band G property in Cornwall, a 100% surcharge adds around £3,900 to the annual bill, while 300% would exceed £11,700 in extra charges.
From 1 April 2025, new statutory relief rules will limit how these premiums are applied. If a home is actively marketed for sale or for rent at a fair price, the premium can be waived for up to 12 months. However, Mr Crawford warns property owners not to “game the system” by listing a home at an unrealistic price to avoid surcharges.
“The property must be genuinely marketed for sale or rent at a reasonable price,” he says. “Anyone claiming the exemption should keep evidence from estate agents as well as screenshots from online property valuation sites to demonstrate active marketing.”
From the same date, councils will also be able to charge a 100% premium on homes that are “periodically occupied” (including holiday homes). Properties being actively sold or let can still qualify for an exemption, under the same rules as other empty homes.
