Homes and Planning Bill

Vikki Slade Excerpts

Friday 13th November 2026 Commons Chamber

[Andrew George]

In case I have not made it clear, a licensing scheme is welcome. That will play a small role, but only in relation to holiday lets in a particular area. It will not have the impact that I think this Bill would have.

[Vikki Slade (Mid Dorset and North Poole) (LD)]

A community in the countryside—not coastal—recently contacted me about an agricultural building that was given permission under class Q to become a residential property. The neighbours talk about how often it is being advertised on Airbnb and the problems caused by people coming in and out. Cleaners are coming in and out, causing disruption. Does my hon. Friend agree that if we had a system like the one in London, where a property can be rented for a limited number of nights for it to remain a residential property, that would allow local authorities to work with the planning scheme? People could be told, “If you want to rent out your property for 100 days”—or whatever figure it is—“a year, you now need to register a change of use class.” Neighbours are becoming frustrated by properties changing from agricultural to residential to holiday, and that is not what was intended.

[Andrew George]

My hon. Friend makes a very good point. As a result of tax changes, we have seen properties moving from holiday lets to second homes, and from second homes to holiday lets. It is relatively easy to move from the council tax register to the business rates register.

Of course, the vast majority of holiday lets in places such as Cornwall and the Isles of Scilly are owned by people who do not live there. They run the business through agents, and the vast majority of those who apply for small business rate relief end up paying nothing at all. They must have been joyous, and were no doubt popping champagne corks in whichever part of the country they live in—not Cornwall—when the Government announced in the Budget that they would increase the valuation that will be used for small business rate relief, from £12,000 to £18,000. That allows people who are wealthy enough to own a second property to use it for their own leisure purposes, to let it out for holiday purposes or to do both. That is the point, and a lot of holiday letting agents make this quite clear to those people with second homes, “You don’t like paying double council tax on your second home? Well, you can enjoy it and, in the weeks when you’re not using it, you can let it out.” I could give quotes. Certainly, if we look at all the agents’ sites, the advice is clearly there: they say that second homeowners can switch from council tax to business rates, apply for small business rate relief and pay nothing.