THE VALE OF GLAMORGAN COUNCIL

CABINET MEETING:- 29th NOVEMBER 2006

REPORT OF DIRECTOR OF FINANCE, ICT & PROPERTY

 

COUNCIL TAX - UNOCCUPIED DWELLINGS

 

 

Purpose of Report

 

1.         To seek approval for the policy to be adopted for Council Tax on unoccupied dwellings for 2007-08.      

 

Background

 

2.         Billing authorities have discretion about the discounts to be allowed for unoccupied, furnished dwellings. 

 

Relevant Issues and Options

 

3.         A billing authority may decide to give a discount of 50%, 25% or no discount at all, so that the tax payer has to pay 50%, 75% or 100% of the normal charge. 

 

4.         The Welsh Regulations prescribe three dwellings for which Welsh Local Authorities will have discretion to consider the discounts allowable.  The Council’s policy is as follows -  

 

·        Unoccupied furnished dwellings -

The regulations prescribe two classes of unoccupied and furnished dwellings for which Welsh Local Authorities will have discretion to consider the discounts allowable-

 

a)   Class A relates to dwellings with a restriction on occupancy by law which prohibits their use for a period of at least 28 consecutive days in any 12 month period;

b)   Class B relates to dwellings which have no such restriction on occupancy.

·        Unoccupied unfurnished dwellings –

The regulations prescribe a third class and allow authorities to reduce or discontinue the 50% discount on dwellings which are unoccupied and substantially unfurnished and have been for more than six months. 

 

c)   Class C relates to long term unoccupied and substantially unfurnished dwellings. 

·        Current  Policy

Allow 50% discount on unoccupied furnished dwellings (classes A, B and C). 

                       

Resource Implications (Financial and Employment)

 

6.         The discounts allowed are reflected in the tax base, which is used by the Welsh Assembly Government in determining the Revenue Support Grant Settlement.

                         

Legal Implications (to include Human Rights Implications)

 

7.         The Council is obliged to collect Council tax in line with the regulations.

 

Crime and Disorder Functions

 

8.         None

 

Equality Implications (to include Welsh Language Scheme  Issues)

 

9.          None

 

Corporate / Service Objectives (to include Stakeholder Consultation and Voluntary Sector Implications).

 

10.      The setting of the determination of discounts on unoccupied dwellings supports the Corporate Priority of managing the Council’s money efficiently and effectively in order to maximise its ability to achieve service aims and the service objective of providing sound financial management.

 

Consultation

 

11.      No change has been proposed and the matter has not been subject to consultation.

 

Policy Framework and Budget

 

12.      This report is a matter for Executive Decision by Cabinet.

 

Relevant Scrutiny Committee

 

13.            Corporate Resources

 

Recommendation

 

(1)       That 50% discount be allowed in 2007/08 in respect of class A, B and C dwellings.

 

Reasons for recommendations

 

1.         The Council is required to determine its policy on discount on unoccupied dwellings each year. 

 

Background Papers

None

 

Contact Officer:-  Clive Teague - Head of Financial Services - Tel No. 01446 709204

 

Officers Consulted

 

Revenues and Benefits Manager

Council Tax Manager

Director of Finance ICT and Property

 

SIAN DAVIES

DIRECTOR OF FINANCE ICT AND PROPERTY