‘Balance’ needed over taxing second homes

A balance must be found between increasing council tax on second homes and plans to repopulate Argyll and Bute, a senior councillor has said.

Gary Mulvaney has also promised an approach by the council to address the ‘imbalance’ between the number of empty homes and people looking for a home.

Last month First Minister Humza Yousaf announced that council tax bills for second homes could be doubled, a move welcomed by MSP Ross Greer and local government umbrella body COSLA.

Cllr Mulvaney, he authority’s depute leader had stated in a report that the council tax collection rate for the year was 96.61%, slightly higher than last year.

Cllr Reeni Kennedy-Boyle asked: “Second home ownership has increased significantly, however we still have a significant number of derelict properties. Can you go a bit further and allude to what plans are underway?”

Cllr Mulvaney responded: “There is a consultation out from the Scottish Government which the council will certainly consider, but I am certainly happy to have a look with officers.

“On empty homes, we need to get more information and share it with members. When we have that, we can establish what the plan is to tackle that.

“I know RSLs (registered social landlords) have been involved to try to reduce the number of empty homes, and I suppose the other aspect is that we have empty homes in one part of the area but massive housing demand in other parts of the area.

“It is an imbalance. We will certainly have an approach that tackles empty properties and the mismatch in supply and demand.”

Read more: The wasted land – mapping unused property owned by the MoD

Cllr Math Campbell-Sturgess then asked: “I appreciate Cllr Mulvaney may not be about to answer this, as a consultation is underway and we could pre-judge it. But is there any merit in proposing to double the council tax on second homes?”

Cllr Mulvaney said: “There is a balance to be struck in terms of potential income from increasing council tax on second homes, but also the reputation we have as an authority.

“I am aware of the other aspects of the plan within the UK, and without making a political point, there is a perception that Scotland has a much higher tax than other parts of the UK.

“If you look at higher local government tax, it all builds towards something we maybe do not want to have.

“We will see what the consultation brings and any money raised in terms of council tax on second homes – will it have to be pushed towards things like the strategic housing fund?

“Or can it be used to subsidise other services already provided? We have gaps of £8m and £13m in our budget over the next two years.”

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