Second home tax: Stuart MacMillan MSP says balance must be struck

Stuart McMillan’s comments follow first minister Humza Yousaf’s announcement on additional tax powers for councils at the STUC Congress earlier this week.

The proposed changes would allow Inverclyde Council hike the full rate of council tax on second homes from April 2024, bringing them into line with long-term empty homes.

The proposal is part of a new Scottish Government and Cosla consultation to help increase available housing.

Mr McMillan said: “I welcome this joint consultation with Cosla on the Scottish Government’s proposals to enable councils to raise the amount of council tax paid on empty and second homes – as latest figures show that in January 2023, there were 42,865 long-term empty homes in Scotland. This includes 337 homes in Inverclyde.  

“In certain parts of the country, the volume of long-term empty homes is locking aspiring home owners out of the market and stopping areas from attracting people to live and work there.

“So as well as having the potential to generate an additional £35m for local authorities nationally, this approach aims to also increase housing availability across Scotland.

“It’s important that we get the balance right though as we try to prioritise homes for living in, seek a fair contribution to local services for everyone whilst recognising the benefits to local economies from self-catering accommodation and second homes."

Earlier this week, Councillor David Wilson slammed the plans and told the Tele that the move is part of Humza Yousaf’s policy ‘to tax us to obscurity’.

Mr McMillan is encouraging constituents to have their say on the issue by taking part in the consultation.

The MSP said: "As with every consultation, I’d encourage as many people as possible to engage with this process and have their say before it closes on July 11. All responses will be carefully considered before legislation is introduced to the Scottish Parliament."