Welsh council and housing association strike agreement to tackle second home hotspots

Since 2022, Welsh councils have been able to charge a 300% council tax premium on second homes as part of the government’s efforts to clamp down on the problem. Cyngor Gwynedd imposed a 150% premium in April last year.

Craig ab Iago, cabinet member for housing and property at Cyngor Gwynedd, said: “With the scheme to buy private houses to let to local people, this practical collaboration means that both organisations bring their strengths to the table – combining expertise to find real solutions to the serious housing situation that we’re all facing.”

The council’s buy-to-let initiative is part of Cyngor Gwynedd’s overall £140m housing action plan, which aims to tackle the county’s housing shortage. 

The plan’s other elements include schemes to tackle homelessness, bring empty homes back into use, build new homes, and equity loans to help local people buy homes on the open market.

Sarah Schofield, director of customers and communities at Adra, said: “There is a huge demand for quality affordable housing in Gwynedd, which also reflects the national picture.

“This proves that by working together, this issue could be solved. It’s clear that collaboration is one of the solutions to tackling housing issues in north Wales.”

Cyngor Gwynedd is not the first local authority in Wales to adopt such a plan. In 2019, Cardiff Council said it was aiming to acquire 160 open market homes to address the shortage of affordable housing. 

Similar schemes have also been run in other parts of the UK. In Scotland, Dundee City Council revealed in 2022 that it would start buying homes from the open market. This action was then followed by Angus and West Lothian councils.