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Call to double council tax for second home owners

On 16 November 2004 the housing charity Shelter published a report (Priced out: the rising cost of rural homes) which calls on councils throughout England to double council tax for second home owners. The report shows that homelessness is growing more rapidly in the countryside than in urban areas and is also calling for more affordable homes to be built in rural areas.

The report reveals that ownership of second homes in rural areas has increased dramatically (15% increase since 2003) against a backdrop of rising homelessness and increasingly unaffordable homes. Almost a quarter of council houses in the countryside have been sold off over the past 15 years, while house prices in rural areas have been rising faster than urban house prices.

Shelter says the impact is being felt across rural Britain, with many areas being abandoned by local people unable to afford to live in the towns they grew up in. Many businesses are also being priced out, leaving communities that, the charity says, are in danger of becoming ghost towns.

The report also shows that during a four-year period over 30,000 council homes were sold in rural areas (7) yet only 4,000 new social homes were built (8). In addition, homelessness in remote rural areas has increased by 30 per cent, compared to 21 per cent in urban areas (1).

The report can be viewed on the Shelter website