Increasing the second home and long term empty properties Council Tax premium in Powys is a discussion for next year – councillors have been told.

At a meeting of the Powys County Council’s Economy Residents and Communities scrutiny committee on 27January councillors probed draft budget proposals for savings and costs in several council departments.

The current Council Tax premium in Powys for second homes is 75 per cent and the long term empty properties premium is 100 per cent – which is double the normal bill.

Cllr Chloe Masefield called for the premiums to rise as “having lots of second homes is not really a benefit to our communities.”

Finance portfolio holder, Labour’s Cllr David Thomas said: “That’s a debate we’ll have to have next year.

“But before you can make a change to any premium you have to give significant notice; I think it’s at least six months so it’s too late for this budget.

“It’s something we’ll certainly look at in the future, if there’s appetite for it.”

He added that if a second home is let as holiday accommodation for a certain period of time the owner may be paying business rates rather than Council Tax.

Council leader, Liberal Democrat Cllr James Gibson-Watt said he would be keen to find out what the impact had been elsewhere in counties such as Gwynedd and Pembrokeshire where second and holiday homes are a political hot potato.

Liberal Democrat Cllr Raiff Devlin added “This requires very careful consideration and it’s important to know the impact that increasing charges would have.

“I don’t think we appreciate the contribution to the rural economy and local employment that holiday lets have.”

The council tax premium on second homes was agree by the previous Conservative/Independent administration in 2022 and came into force in April 2023.