Council Tax and Second Homes

Scott Mann Excerpts

Tuesday 26th June 2018 Commons Chamber

[Derek Thomas]

I am quite impressed by that intervention. It was quite a thing to hear, and I am sure that it will go on public record and that people will refer to it in future.

I have raised this issue with the Chancellor of the Exchequer since I was elected in 2015. I have raised it with three separate Secretaries to the Treasury, and I raised it once again just a couple of weeks ago in a debate in Parliament. I have a simple ask: every property that has been built as a home should pay council tax. I argue that the Government should close this loophole, allowing the authority to collect the council tax charge to provide public service and enabling the Government to divert cash towards the provision of homes for local families.

I remember—I was a counsellor and a parliamentary candidate in St Ives at the time—when business rate relief was introduced. It was clearly done to support our high streets and, for many, it has had a significant benefit. However, I do not believe for a minute that that relief was ever intended to create a route to enable a homeowner to avoid paying council tax, or business rates when a property is used as a business. Do not get me wrong: I am well aware of the contribution that tourism makes to the economy of Cornwall and Scilly—to the local economy, through the jobs it provides and through all the contributions that allow our high streets to have a fighting chance of survival—and I recognise the role that holiday lets play in supporting the sector. I am not seeking to oppress the tourism sector but to install some fairness in the housing system and identify some much-needed cash that can be used to provide the homes that my constituents and constituents across Cornwall need.

[Scott Mann (North Cornwall) (Con)]

My hon. Friend is doing an exceptional job of talking about this issue, which is important for many of my constituents and his. Has he thought about how it might be implemented on the ground so that Cornwall Council and other local authorities can benefit for the personal benefit of the taxpayer?

[Derek Thomas]

That is why I believe that this is an opportunity for the Government to simplify council tax. If they know that every property built as a residential property is due for a council tax charge, surely that simplifies it. What the Government then decide to do about whether the properties are registered for business rates or not should be left to someone far brighter than I am. I am glad that I have two Cornish colleagues in the Chamber and that other Cornish colleagues support this campaign—