Second Homes (Hansard, 10 June 1998)

§ Mr. Sanders
To ask the Secretary of State for the Environment, Transport and the Regions what assessment he has made into the impact of second homes on the supply of local housing. [44932]

§ Mr. Raynsford
The Survey of English Housing conducted annually for my Department indicates that about 200,000 households with their main residence in England also own or rent a second home in England. That figure excludes households whose second home is the main residence of another household, and households with a second home which they intend to sell.
Local authorities should take account of second homes in their assessments of housing need. These assessments inform authorities' housing strategies (including empty homes strategies where they exist) and development plans.

§ Mr. Prior
To ask the Secretary of State for the Environment, Transport and the Regions how much council tax is currently raised from second-home owners. [44488]

§ Mr. Raynsford
I refer the hon. Member to the answer my hon. Friend the Minister for Local Government and Housing gave to the hon. Member for St. Ives (Mr. George) on 9 June 1998,Official Report, column 509.

§ Mr. Prior
To ask the Secretary of State for the Environment, Transport and the Regions if he will make a statement on the impact of the 50 per cent. reduction in council tax for second-home owners. [44487]

§ Mr. Raynsford
If a local authority has a high proportion of second homes that receive a 50 per cent. discount, and therefore a reduced tax base, it will receive more grant to compensate. Contrary to some of the concerns that have been expressed, the level of council tax bills paid by local residents will therefore not be affected unless the local authority is spending above the "standard spending" level fixed by Government as a basis for distributing grant. We have received a number of representations about the council tax and second/holiday homes. We are considering these and will set out our proposals in a White Paper this summer.