Latest news with #AdamAl-Nuaimi
Wales Online
19 hours ago
- Business
- Wales Online
Second homes policy shows impact but fears grow 'vital' visitors will shun Wales
Our community members are treated to special offers, promotions and adverts from us and our partners. You can check out at any time. More info North Wales Live readers remain doubtful that Wales' clampdown on holiday homes is showing a clear "impact on purchasing behaviour". The boom in second homes and holiday lets in some rural and coastal communities has sparked a fierce backlash, with concerns over the strain on local residents. In parts of Gwynedd, holiday homes have made up half of all properties, prompting stark warnings about threats to the Welsh language and culture. Measures have been brought in to reverse the trend and free up housing for locals – though critics say the real focus should be on building more homes. The changes include steep council tax premiums on second homes and stricter criteria for properties to qualify as council tax–exempt holiday lets. Cyngor Gwynedd has also introduced a new Article 4 directive requiring planning permission to change a home's use. Other regions are considering similar rules. While many welcome the crackdown, the tourism industry warns of a potential hit to their trade, and the Conservatives argue that more housing construction should take priority. New Land Transaction Tax figures – Wales' version of stamp duty – suggest the policies are reducing sales to second home and holiday let buyers. Properties bought as second homes, holiday homes, or for buy-to-let face higher transaction rates, and such sales are now falling. Adam Al-Nuaimi, Head of Data Analysis at the WRA, said: "Comparing the year to June with the previous year, many areas of Wales saw decreases in their percentage of residential transactions which were higher rates, in particular the Isle of Anglesey and Gwynedd." Commenter Ofcourseitis says: 'There are some excellent bargains to be snapped up for anyone who wants to retire to North Wales and work from home, it's a great lifestyle change.' SCATHINGPEN writes: 'So, if the measures imposed by Gwynedd Council with the premium on second home Council tax and the 182 rule for holiday lets is working, how exactly, has the housing demographic changed? Who's buying the properties now? They're still way beyond the price point of locals due to locals not earning the right salaries to buy them. 'I guess they are being bought by those wishing to retire here, those already in the holiday letting business or other, richer second home owners who really don't care how high the council tax is because they're rich. From what I see, there is only one set of winners here, the councils who are always in search of a new source of revenue. The housing crisis hasn't changed. Locals still don't own the keys to their doors.' Steamnut agrees: 'They are making it up as they go along to justify the actions they have taken. Where are the new builds of low cost housing that were supposed to be built using this extra money? The money should have been ring fenced from the start.' Lucy1967 points out: 'The people that are buying second homes are those who obviously have plenty of money - having more affordable housing is fine, but you still have to be working and earning over a certain amount. It's not as easy as people may think, we need more social housing for people who cannot afford to buy, renting is as high if not in a lot of cases more expensive than a mortgage. As long as this continues then things will never change, gradually there will be less and less Welsh people living in their own birth place, which is very very sad." Jnrm replies: 'But some second home owners inherited the properties from parents and wish to maintain a presence in their homeland. The other owners are not 'lucky' they are hard working people who saved their earnings to afford a second home rather than going on expensive holidays every year.' Statistix says: 'I take issue with the 'I deserve to live in the village where I was brought up' argument. Most children brought up in a nice big house in a popular village have benefitted from their parents' struggle to climb the property ladder. How many of us starting out could or can expect to afford what our parents strived for years for?' Sparklytiger states: 'You're all blaming incomers for buying homes in Wales. Just remember, it's the Welsh that sold those houses for top prices. Not ONE of the sellers had the morals to think 'I know I can get thousands more but I'll take a really low offer instead so my Welsh compatriots can have a home where they live'. Start by looking at who REALLY is at fault here.' Tjr42 adds: 'Tourism is vital to Wales.' Do you think higher taxes on second homes are helping Wales or harming tourism? Share your views in the comments section.
North Wales Live
a day ago
- Business
- North Wales Live
Second homes policy shows impact but fears grow 'vital' visitors will shun Wales
North Wales Live readers remain doubtful that Wales' clampdown on holiday homes is showing a clear "impact on purchasing behaviour". The boom in second homes and holiday lets in some rural and coastal communities has sparked a fierce backlash, with concerns over the strain on local residents. In parts of Gwynedd, holiday homes have made up half of all properties, prompting stark warnings about threats to the Welsh language and culture. Measures have been brought in to reverse the trend and free up housing for locals – though critics say the real focus should be on building more homes. The changes include steep council tax premiums on second homes and stricter criteria for properties to qualify as council tax–exempt holiday lets. Cyngor Gwynedd has also introduced a new Article 4 directive requiring planning permission to change a home's use. Other regions are considering similar rules. While many welcome the crackdown, the tourism industry warns of a potential hit to their trade, and the Conservatives argue that more housing construction should take priority. New Land Transaction Tax figures – Wales' version of stamp duty – suggest the policies are reducing sales to second home and holiday let buyers. Properties bought as second homes, holiday homes, or for buy-to-let face higher transaction rates, and such sales are now falling. Adam Al-Nuaimi, Head of Data Analysis at the WRA, said: "Comparing the year to June with the previous year, many areas of Wales saw decreases in their percentage of residential transactions which were higher rates, in particular the Isle of Anglesey and Gwynedd." Commenter Ofcourseitis says: 'There are some excellent bargains to be snapped up for anyone who wants to retire to North Wales and work from home, it's a great lifestyle change.' SCATHINGPEN writes: 'So, if the measures imposed by Gwynedd Council with the premium on second home Council tax and the 182 rule for holiday lets is working, how exactly, has the housing demographic changed? Who's buying the properties now? They're still way beyond the price point of locals due to locals not earning the right salaries to buy them. 'I guess they are being bought by those wishing to retire here, those already in the holiday letting business or other, richer second home owners who really don't care how high the council tax is because they're rich. From what I see, there is only one set of winners here, the councils who are always in search of a new source of revenue. The housing crisis hasn't changed. Locals still don't own the keys to their doors.' Steamnut agrees: 'They are making it up as they go along to justify the actions they have taken. Where are the new builds of low cost housing that were supposed to be built using this extra money? The money should have been ring fenced from the start.' Lucy1967 points out: 'The people that are buying second homes are those who obviously have plenty of money - having more affordable housing is fine, but you still have to be working and earning over a certain amount. It's not as easy as people may think, we need more social housing for people who cannot afford to buy, renting is as high if not in a lot of cases more expensive than a mortgage. As long as this continues then things will never change, gradually there will be less and less Welsh people living in their own birth place, which is very very sad." Jnrm replies: 'But some second home owners inherited the properties from parents and wish to maintain a presence in their homeland. The other owners are not 'lucky' they are hard working people who saved their earnings to afford a second home rather than going on expensive holidays every year.' Statistix says: 'I take issue with the 'I deserve to live in the village where I was brought up' argument. Most children brought up in a nice big house in a popular village have benefitted from their parents' struggle to climb the property ladder. How many of us starting out could or can expect to afford what our parents strived for years for?' Sparklytiger states: 'You're all blaming incomers for buying homes in Wales. Just remember, it's the Welsh that sold those houses for top prices. Not ONE of the sellers had the morals to think 'I know I can get thousands more but I'll take a really low offer instead so my Welsh compatriots can have a home where they live'. Start by looking at who REALLY is at fault here.' Tjr42 adds: 'Tourism is vital to Wales.'
Wales Online
4 days ago
- Business
- Wales Online
Holiday home crackdown having 'impact on purchasing behaviour' in Welsh hotspots
Our community members are treated to special offers, promotions and adverts from us and our partners. You can check out at any time. More info A holiday home crackdown in Wales is having an "impact on purchasing behaviour" say tax chiefs. The growth in second homes and holiday lets in some rural and coastal communities triggered a backlash over fears about the impact on local people. There were parts of Gwynedd where half of all homes were holiday properties with warnings about the negative consequences this was having on the Welsh language and culture. It has seen an effort to mitigate that trend in a bid to free up more homes for local people - although critics say the focus should be on building more properties. Measures include significant council tax premiums on second homes as well as stricter criteria for a property to be classed as a holiday let, which are exempt from council tax. Cyngor Gwynedd has also introduced a new Article 4 rule that requires planning permission for a residential property to change its use. Other areas are looking to follow their lead. While the measures have been welcomed by many, the tourism industry has warned of the impact on their sector and the Tories have said the focus should be on building new houses. Recent data in the Land Transaction Tax statistics - the Welsh version of stamp duty - is indicating that the measures are reducing the number of sales to second home and holiday let buyers Those properties sold to buy to let landlords, or as second homes, holiday homes or holiday lets, face a higher rate transaction cost. It is these higher rate sales that are falling as a proportion of total sales. Compared with the previous year (the year ending June 2024), the local authorities with the largest percentage changes were: Isle of Anglesey (decrease of 8 percentage points to 25%) Gwynedd (decrease of 6 percentage points to 26% ) Conwy (decrease of 3 percentage points to 21%) The corresponding changes with the previous year for the three National Parks were: Pembrokeshire Coast: 50% to 38%, a decrease of 12 percentage points Eryri: 36% to 29%, a decrease of 7 percentage points Bannau Brycheiniog: 19% to 21%, an increase of 1 percentage point Talking about the longer term trend, the latest Welsh Revenue Authority report said: "In the past few years, there have generally been falls in these percentages in northern and western areas of Wales. "The percentages for Gwynedd were fairly stable from 2018-19 to 2021-22 (around 37% to 39%). There was a marked fall the next year followed by a period of stability, before another notable decrease to 26% in the year ending June 2025. "The percentages for Anglesey declined from 36% in 2019-20 to 29% in 2022-23. While there was a notable increase to 34% in the year to June 2024, there followed a larger fall to 25% in the year to June 2025." Adam Al-Nuaimi, Head of Data Analysis in the WRA, said: "Comparing the year to June with the previous year, many areas of Wales saw decreases in their percentage of residential transactions which were higher rates, in particular the Isle of Anglesey and Gwynedd. "We're pleased to publish our second annual article about intent behind higher rates transactions and report on trends for the first time. The article tells us that many of the trends in higher rates transactions were due to changes in purchases of second homes, holiday homes or holiday lets. These trends are consistent with policies around second homes in Wales having some impact on purchasing behaviour. "Nationally in April to June, quarterly residential revenues were higher than the same time last year, but not as high as three years earlier. There are several reasons for the latest rise. There were increases in residential transactions and average property values over that time, and tax rates for higher rates transactions increased from December 2024."
North Wales Live
4 days ago
- Business
- North Wales Live
Holiday home crackdown having 'impact on purchasing behaviour' in Welsh hotspots
A holiday home crackdown in Wales is having an "impact on purchasing behaviour" say tax chiefs. The growth in second homes and holiday lets in some rural and coastal communities triggered a backlash over fears about the impact on local people. There were parts of Gwynedd where half of all homes were holiday properties with warnings about the negative consequences this was having on the Welsh language and culture. It has seen an effort to mitigate that trend in a bid to free up more homes for local people - although critics say the focus should be on building more properties. Measures include significant council tax premiums on second homes as well as stricter criteria for a property to be classed as a holiday let, which are exempt from council tax. Cyngor Gwynedd has also introduced a new Article 4 rule that requires planning permission for a residential property to change its use. Other areas are looking to follow their lead. While the measures have been welcomed by many, the tourism industry has warned of the impact on their sector and the Tories have said the focus should be on building new houses. Recent data in the Land Transaction Tax statistics - the Welsh version of stamp duty - is indicating that the measures are reducing the number of sales to second home and holiday let buyers Those properties sold to buy to let landlords, or as second homes, holiday homes or holiday lets, face a higher rate transaction cost. It is these higher rate sales that are falling as a proportion of total sales. Compared with the previous year (the year ending June 2024), the local authorities with the largest percentage changes were: Isle of Anglesey (decrease of 8 percentage points to 25%) Gwynedd (decrease of 6 percentage points to 26% ) Conwy (decrease of 3 percentage points to 21%) The corresponding changes with the previous year for the three National Parks were: Pembrokeshire Coast: 50% to 38%, a decrease of 12 percentage points Eryri: 36% to 29%, a decrease of 7 percentage points Bannau Brycheiniog: 19% to 21%, an increase of 1 percentage point Talking about the longer term trend, the latest Welsh Revenue Authority report said: "In the past few years, there have generally been falls in these percentages in northern and western areas of Wales. "The percentages for Gwynedd were fairly stable from 2018-19 to 2021-22 (around 37% to 39%). There was a marked fall the next year followed by a period of stability, before another notable decrease to 26% in the year ending June 2025. "The percentages for Anglesey declined from 36% in 2019-20 to 29% in 2022-23. While there was a notable increase to 34% in the year to June 2024, there followed a larger fall to 25% in the year to June 2025." Adam Al-Nuaimi, Head of Data Analysis in the WRA, said: "Comparing the year to June with the previous year, many areas of Wales saw decreases in their percentage of residential transactions which were higher rates, in particular the Isle of Anglesey and Gwynedd. "We're pleased to publish our second annual article about intent behind higher rates transactions and report on trends for the first time. The article tells us that many of the trends in higher rates transactions were due to changes in purchases of second homes, holiday homes or holiday lets. These trends are consistent with policies around second homes in Wales having some impact on purchasing behaviour. "Nationally in April to June, quarterly residential revenues were higher than the same time last year, but not as high as three years earlier. There are several reasons for the latest rise. There were increases in residential transactions and average property values over that time, and tax rates for higher rates transactions increased from December 2024."
