There’s news today that the Government plans to change the way that council tax is levied on homes that incorporate an annex.
Currently, if your property has a self contained home within it, even without its own entrance door, two council tax bills apply.
Eric Pickles, Secretary of State for Communities and Local Government says ‘We are keen to remove tax and other regulatory obstacles to families having a live-in annexe for immediate relations. We should support home owners who want to improve their properties and standard of living. These reforms should also play a role in increasing the housing supply.’
This move will cost councils around £300 million in lost revenue however public reaction is sure to be unconcerned at that.
It is hoped that the move will encourage those living alone, especially the vulnerable, to move in with relatives so freeing up council properties in particular.