Manchester's Massive Empty Homes Tax Hike

Manchester Town Hall

Manchester landlords and developers will face a massive hike in the council tax charged on long-term empty residential properties from next year, if proposals are approved.

The combined effect of reducing or removing exceptions and increasing fees means council revenue will rise by up to £1.4M a year.

The council is being asked to adopt new powers, approved by the government in November, which allow them to charge increased Council Tax premiums for LTE properties that have been unoccupied and unfurnished for over two years.

The council will charge progressively higher rates of Council Tax for properties that are unoccupied and unfurnished for more than two years, five years and 10 years.

"From 1 April 2020 Council Tax will be charged at a 200% premium for properties that have been unoccupied and unfurnished for more than five years (so the owner would pay 300% of the standard Council Tax), and from 1 April 2021, introduce the 300% premium for properties that have been unoccupied and unfurnished for more than ten years (so the owner would pay 400% of the standard Council Tax)," a report to councillors explains.

At the same time the 100% discount for one month when a property first becomes unoccupied and unfurnished will be abolished, as will the 50% discount for up to 12 months when a property is undergoing major repairs or structural changes.

Until now the council could only charge a limited premium on council tax.

The council estimates that there are 483 properties in the city that have been unoccupied and unfurnished for more than two years. However, 107 of these properties are owned by the Council itself.

Consultation on the plans will take place in January with a final decision in February.

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