Dorset Council Tax on Empty Properties and Second Homes: Premiums Explained

The 100% Long-Term Empty Property Premium

Under powers granted by the Levelling-up and Regeneration Act 2023, Dorset Council charges a 100% council tax premium on properties left unoccupied and substantially unfurnished for a continuous period of at least one year. That means the owner pays double the standard council tax charge.

A Band D empty property that would normally cost around £2,200 per year costs £4,400 once the premium kicks in after 12 months of being empty.

The premium is designed to incentivise owners to bring empty homes back into use. Properties undergoing active renovation may qualify for a temporary exemption — typically Class D (up to 12 months for a property undergoing or requiring major repair work) — but the exemption periods are limited and the council requires evidence that work is actually progressing.

The 100% Second Home Premium

Effective from 1 April 2025, Dorset Council applies a 100% premium to all dwellings classified as substantially furnished second homes that are not occupied as anyone's primary residence. Again, this doubles the council tax bill.

A second home is a property that is furnished and available for use but is not the owner's sole or main residence. Holiday homes, pied-à-terre properties, and inherited homes kept furnished but unoccupied all fall into this category.

Some statutory exceptions apply, and their scope depends on the circumstances. Check Dorset Council's current premium guidance or contact Revenue Services at 01305 211970 before relying on an exception.

How Premiums Interact with Council Tax Reduction

These premiums target owners of empty or second properties — not primary residents on low incomes. If you occupy a property as your sole or main residence, you are unaffected by premium charges regardless of your income level.

Council Tax Reduction is only available on the property you occupy as your sole or main residence, so it cannot be claimed for a second home or empty property. If you own a second property and are struggling with its bill, contact Revenue Services to ask whether Section 13A(1)(c) discretionary relief could apply; the council's policy considers available capital and non-essential assets.

Reporting an Empty Property

Tell Dorset Council when a property's occupancy or furnishing status changes so it can assess the correct bill. If you are unsure when a premium starts or what evidence applies, contact Revenue Services.

If You Are Struggling with Council Tax on Your Home

The premiums on empty properties and second homes are separate from the help available to low-income residents living in their main home. If you are on a low income, receiving Universal Credit, or facing financial difficulty, the Dorset Council Tax Reduction guide covers the full income-banded system, with step-by-step instructions for applying and maximising your discount.

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