From 1st April 2025, any property classified as a furnished second home on the Isle of Wight will be subject to a 100 per cent council tax premium, on top of the usual council tax.
This change follows the Isle of Wight council’s decision in February 2024 to adopt powers set within national legislation that allow local authorities to determine their own policies on empty properties and second homes.
Government-approved exceptions
While the new premium will apply broadly, central government has confirmed a number of exceptions where the charge may not be enforced.
These include properties that are:
- A designated residence for someone in the armed forces who would otherwise live there.
- Part of another home, such as an annexe.
- For sale or rent and have been on the market for less than a year.
- Required for someone’s job.
- A caravan or boat.
- Subject to planning restrictions affecting their use.
Impact on housing and council services
Councillor Ian Stephens, deputy leader of the council and Cabinet member for housing and finance, highlighted the factors behind this decision.
“Recent years have seen an increase in second home/holiday home ownership and a rise in ‘staycations’ and short-term lets. These factors have reduced the availability of housing on the Island.”
He added,
“Second home ownership across the Island is significant and is recognised to have a negative impact in terms of the supply of homes available to meet local housing needs.”
The council’s initial analysis suggests that the introduction of the premium could generate over £5 million in additional revenue. These funds will be used to support the delivery of essential services for all residents.
Further information and applying for exceptions
Residents who believe their property may be exempt from the premium can find full details, including how to apply for an exception, on the Isle of Wight council’s website.
To request an exception, property owners will need to complete an Empty Property and Second Home Review Form and provide the necessary supporting evidence. Physical forms are also available for download via the council’s website
