Latest news with #LandTransactionTax
Wales Online
3 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
3 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."
Business News Wales
23-07-2025
- Business
- Business News Wales
Welsh Revenue Authority Reports Total of £2bn in Revenue for Wales
Ruth Glazzard and Rebecca Godfrey The Welsh Revenue Authority (WRA) has announced £372 million in tax revenue for Wales during the last financial year. Publishing its Annual Report and Accounts for 2024 to 2025, the WRA passed the £2 billion mark for the total amount of tax collected since the start of operations in 2018. Revenue from Land Transaction Tax (LTT) and Landfill Disposals Tax (LDT) is re-invested by Welsh Government in public services, like the NHS and schools, in communities across Wales. The report focuses on the WRA's seventh year of operations. Highlights include: Over 56,000 LTT returns processed efficiently Tax recovery exceeded £2 million for the first time on LTT More than £34 million in tax collected for LDT Achieved spend within 1% of budget The WRA also reported on its work supporting Welsh Government in preparing for the Visitor Accommodation (Register and Levy) Etc. (Wales) Bill, providing the Welsh Treasury with operational insight to help develop the legislation. The WRA continued to grow capability and skills to deliver in these new areas of responsibility and it said it has been involving stakeholders from the industry in its work. Rebecca Godfrey The report marks the leadership transition from founding Chief Executive Officer (CEO), Dyfed Alsop, to Interim CEO, Rebecca Godfrey. She said: 'We continued to make progress in embedding what we call, 'Our Approach', a Welsh way of doing tax. This proactive way of supporting people to get things right resulted in the vast majority of people filing and paying the right tax the first time. 'We also innovated in current taxes by mitigating tax at risk. This is about helping people to put things right when they get their taxes wrong. We recovered a record amount of tax through this work. 'Continuing to support Welsh Government with a focus on visitor levy and national registration has also been a highlight. I'm proud of the important role we can play in leading on new public services for Wales.' The report closes the final year of the WRA's Corporate Plan 2022 to 2025. In April, the WRA published its latest corporate plan. Ruth Glazzard, Chair of the WRA, said: 'As we report on this period and look ahead with our next corporate plan, this feels like a pivotal moment in our evolution. 'We've continued to make strong progress with our current responsibilities. We've also made preparations to deliver new services on behalf of Welsh Government. We look forward to the next chapter as we deliver more for Wales.'
Leader Live
19-05-2025
- Business
- Leader Live
Castle Green to showcase new homes in Rhosrobin, Wrexham
Castle Green Homes is hosting an event at its popular Llys Y Coed development to showcase two homes that are ready to move into. Visitors will be able to view finished examples of the four-bedroom detached Beaumont and Burlington house types. The homebuilder is offering to cover the Land Transaction Tax (LTT), also known as Stamp Duty, on both the Beaumont and Burlington, worth more than £6,000. Sales director Sian Pitt said: 'Homes at Llys y Coed are proving popular with dozens of properties already reserved and many of them occupied. While some people want to buy off plan, choose everything inside their new home and wait for us to build it for them, others are keen to move sooner rather than later. "We have two homes in Rhosrobin ready to move into and a two more the construction team are working on that haven't been sold and are due to be finished this summer. We'd invite anyone looking to make a quick move to a new home in the Wrexham area to join us next Saturday. They'll be able to view the Beaumont and Burlington house types, along with the show homes.' The Beaumont offers 1,222 sq ft of living space including a lounge at the front, with combined kitchen, dining and family room spanning the width of the property. A cloakroom completes the ground floor. Upstairs are four double bedrooms, one with en-suite, plus the family bathroom. The Beaumont is available form £338,995, with the LTT contribution worth around £6,840. Priced from £329,995, the Burlington spans 1,249 sq ft and again has a lounge at the front. The kitchen/ dining room is at the rear, plus there's a cloakroom and storage cupboard. Upstairs, the main bedroom has an en-suite, leaving the family bathroom to serve the other three bedrooms. PROPERTY The LTT on this property is almost £6,300. A double fronted four-bedroom detached Bewley will be ready to move into this summer for £349,995. The ready to move event takes place on Saturday (May 24). For more information about the development visit Castle Green's website.
