The DCN has responded to the a consultation by DLUHC to automatically exempt certain properties from second and empty homes premiums.

We expressed concerns that this would increase the burden on local tax payers and could open up the system to abuse.

“It would be preferable for the Government to expand existing guidance to inform local decision-making about whether an exemption is suitable. For example, if a property cannot reasonably be occupied within 12 months of coming into the taxpayers’ control, then councils should be able to exempt them from the empty home premium.”

“A national approach would also undermine the ability of councils to use premiums to encourage empty or under-used properties back into local housing markets. During a housing supply crisis, councils need stronger levers to encourage properties to be brought back into use as dwellings, not weakened existing levers.”

You can read the full response here.