Call for council tax relief on empty landlord properties

Call for council tax relief on empty landlord properties

11:38 AM, 24th April 2020, About 5 years ago 93

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The NRLA are calling on Ministers to instruct local authorities that they should not charge council tax on rented homes left empty because of the coronavirus.

A significant number of rented homes have been left empty because tenants have been unable to take up tenancies, or have chosen to move out to be closer to family during the lockdown. During this period landlords will become liable for the council tax on the property and have no realistic prospect of finding new tenants.

The National Residential Landlords Association is asking the Government to tell councils that they should exempt houses have been left empty as a result of the virus from council tax demands.

A recent survey by the NRLA found that 41% of landlords are concerned about having to cover the unexpected costs of utility bills and council tax.

Ben Beadle, Chief Executive of the NRLA, said: “It is manifestly unfair for landlords to be asked to pay council tax on properties which are empty, and likely to remain so, because of the impact of the pandemic. Whilst we remain supportive of the measures taken so far by the Government, landlords are being asked to absorb more costs at a time when they are least able.

“Unlike most small businesses and the self-employed, there has been no direct support package announced for landlords. Removing this unnecessary burden would at least help those landlords who are struggling to cope with drastically reduced income.”


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Lyndon Whitehouse

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17:26 PM, 30th April 2020, About 5 years ago

Reply to the comment left by Gary Nock at 27/04/2020 - 18:20
I also sent this to Wolverhampton who have replied as below

Dear Mr Whitehouse,

Thank you for your e-mail concerning whether a Class G exemption would be applied by Wolverhampton Council to empty properties for Council Tax purposes.

This is something that we have already considered as it has been brought to our attention previously.

Our view is that a Class G exemption is applicable when a property is prohibited by law from occupation. The restrictions placed upon movement as a result of Coronavirus certainly makes things more difficult but it does not prohibit the letting of property.

We are also still receiving notifications of changes of address which suggests that many people are still finding it possible to move home at this time.

If an individual or business held liable for Council Tax can demonstrate that they are suffering hardship then an application can be made for a Section 13a Discretionary Relief payment.

Fed Up Landlord

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17:41 PM, 30th April 2020, About 5 years ago

Hi Lyndon,
Exactly what Dudley has said. It's a conspiracy I think:
My view is still as follows:

"Class G: an unoccupied dwelling the occupation of which is prohibited by law,( Clause 1) OR which is kept unoccupied by reason of action taken under powers conferred by or under any Act of Parliament,( Clause2) WITH A VIEW to prohibiting its occupation or to acquiring it”( Clause3)

The "or" is crucial. This means that any Act does not have to prohibit occupation per se- merely that it triggers the clause "has a view to doing so" This is a deliberately broad definition.

The Coronavirus Act certainly " has a view" to prohibiting occupation. That is it's purpose in stopping the spread of the disease. What the council have done is looked at the first part of the Class " G" definition without also looking at the other two which are less precise.

The phrase "with a view" does not have to result in prohibition - merely that it could do so. The Collins definition of "with a view" is: "If you do something with a view to doing something else, you do it because you hope it will result in that other thing being done" The government is hoping that by enacting the Coronavirus Act then it will stop the letting of properties.

What it is is the council loses money if THEY exempt - but gets money off the government if the government exempts. So landlords are "piggys in the middle". I have sent it to my MP saying its absurd that they government is saying we cannot let but the council says we can. Mixed messages or what?

Paul Shears

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18:39 PM, 30th April 2020, About 5 years ago

Reply to the comment left by Gary Nock at 30/04/2020 - 17:41
No reply from my MP, Steve Brine, as yet.

Clint

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12:40 PM, 1st May 2020, About 5 years ago

Reply to the comment left by Gary Nock at 24/04/2020 - 12:32
First of all I thank you Gary for sharing this with us.

I sent a letter to both my MP and my councillor. My properties are mainly in the London Borough of Croydon. This is the letter I got from my MP in reply which hopefully will be of help.

Dear Clint,

Thank you for taking the time to contact me.

I read your email with great interest and completely agree with you that this is an incredibly important issue. I will of course raise your concerns directly with the Council in order for them to look into this for you.

As soon as I receive their response, I will of course share this with you.

In the meantime, please do not hesitate to contact me if I can be of any further assistance.

Kind regards,
xxx

Fed Up Landlord

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12:45 PM, 1st May 2020, About 5 years ago

Reply to the comment left by Clint at 01/05/2020 - 12:40
Clint that's great thanks. If enough of us contact MPs then it may strike a cord. Pity the NRLA didnt respond to my email telling them about the above rather than just bleating in a press release that we should be looked on "favourably"

Paul Shears

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12:47 PM, 1st May 2020, About 5 years ago

Reply to the comment left by Clint at 01/05/2020 - 12:40
He's clearly completely missed the point. (Suprise!).
Central government need to issue a directive to councils to suspend council tax on properties rendered vacant due to and for the duration of, the Cov19 situation.
It's like swimming through treacle whilst chewing bricks with our "democratically elected" officials.

Fed Up Landlord

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12:51 PM, 1st May 2020, About 5 years ago

Reply to the comment left by Paul Shears at 01/05/2020 - 12:47
Paul I was told on the quiet that the councils through the Local Government Association are putting up a united front on this as if they exempt under Class "G"- the council stands the loss of revenue. But if the government mandates it - then they will be able to apply for the exempted amounts.

Clint

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12:52 PM, 1st May 2020, About 5 years ago

Reply to the comment left by Paul Shears at 01/05/2020 - 12:47
Yes, I did realise that, and did state to him in my letter to raise the issue with Central Government which I will be stating in response to my letter.

Lyndon Whitehouse

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12:53 PM, 1st May 2020, About 5 years ago

Reply to the comment left by Gary Nock at 01/05/2020 - 12:51
We need a legal view from a QC!!
Can always apply for the exemption, if they refuse, request a tribunal.

Adrian Jones

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16:01 PM, 1st May 2020, About 5 years ago

Bath and North East Somerset Council confirmed their policy is that CT is payable immediately the property becomes empty.

Pembrokeshire Council haven't even acknowledged my email.

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