Brecon Beacons holiday lets to become homes as rates soar

Powys County Times

2 days ago

Holiday accommodation in a popular Powys visitor destination could be turned into affordable homes after Welsh Government policy saw its rates soar by £10,000 a year.
An application by Mr and Mrs Hopkins would change the use of three holiday chalets and manager's accommodation off the A438 between Bronllys and Pont Ithel from short term holiday accommodation, into four permanent affordable dwellings.
Of the four chalets three have two bedrooms and one has three bedrooms.
Planning agent Samuel Organ of CO2 architects explained the proposal in a planning statement.
Mr Organ said: 'The chalets at Beacons Edge have been let as short-term holiday accommodation for many years.
'However, recent changes to Welsh Government policy concerning the taxation of self-catering properties have significantly impacted the viability of such businesses.
'This application seeks a change of use from holiday accommodation to local needs housing."
Mr Organ explains that an order came into force in 2023 stating that holiday properties must be available to be let for 252 days a year, and used for at least 182 days.
Mr Organ said: 'To qualify for non-domestic rates, the chalets, despite active marketing, have only achieved a maximum of 156 letting days annually per unit, falling short of this threshold.
'As a result, the Valuation Office Agency removed the business from the non-domestic rating list on April 1, 2023, and the properties are now subject to domestic Council Tax.
'The annual Council Tax liability across the four units is now £10,433.88, a dramatic increase from the previous £372.99 a year in business rates, making the holiday letting model unviable.'
Mr Organ continued: 'This application proposes to repurpose the chalets as permanent residential dwellings for local needs housing, thereby bringing them into productive and sustainable use.'
While Beacons edge is outside a 'formally' defined settlement boundary Mr Organ stresses how close the site is to Bronllys and Pont Ithel.
Mr Organ said: 'This makes the site an appropriate location for local needs
housing, in line with both Powys LDP (Local Development Plan) policy and national guidance.
'The site's location near Talgarth, Bronllys, and Brecon all of which offer services, schools, and employment, this makes it ideally situated for households with a strong local connection.
'The applicant is willing to enter into a section 106 agreement to ensure these homes are retained for local needs.'
This means that if the chalet become affordable homes they would be suited for 'young families, local workers and those wishing to downsize".
Mr Organ said: 'The proposal represents a sustainable, low-impact solution that will deliver real community benefit and support rural vitality.'
A decision on the application is expected by August 18.