New holiday let rules 'a missed opportunity'

THE Welsh Government is to make three changes to holiday home rules in Wales.

- OWEN HUGHES

Since 2023, self-catering properties in the country must be available for 252 days and let out for 182 days each year to be eligible to pay business rates.

Those failing to achieve that instead pay a higher council tax rate with a maximum potential premium of 300%. A total of 40% of holiday lets in Wales have not met the letting criteria since the new rules were brought in from 2023.

These rules have been fiercely opposed by many in the sector who say genuine holiday let businesses are being dragged into paying thousands of pounds extra.

Last summer the Welsh Government announced proposals to make adjustments to the legislation in response to the concerns raised.

This week finance secretary Mark Drakeford announced the planned changes. He said: “Firstly, we proposed to enable an average of days let over multiple years to be taken as evidence of compliance, where 182 days letting are not achieved in the previous year. This is intended to provide an opportunity for operators whose compliance lapses by a narrow margin to potentially achieve 182 days letting again, before they would otherwise become liable for council tax.