A woman overseeing vacation rentals in a coastal town says she might go bankrupt because the apartments have been classified as “secondary residences.”
Judith Robbins operates eight self-catering units in a single building in Blackpool, renting them out to budget-conscious families.
However, in October, the woman, who is 75 years old, learned that six of her Westward Holiday Apartments close to North Pier had been reclassified. This left her owing money for council taxes that she claimed she couldn’t manage to pay.
The authorities stated that individuals were informed a year ago that “structures needed to comply with the regulations.”
Mrs. Robbins, who is a great-grandmother, stated: “I came across articles in the newspaper regarding the clampdown on secondary residences, yet we never thought for even a second that it would affect us.”
Truly astonishing. We have been here for more than 22 years, and I have always managed to stay up-to-date with all my payments.
According to the previous regulations, Ms. Robbins faced an annual bill of approximately £3,500 for commercial rates and benefited from small business rate relief.
However, the holiday apartments were redesignated as second homes by the Valuation Office Agency (VOA).
following the updated tax regulations implemented in 2023
.
Currently, Mrs. Robbins has to pay approximately £9,000 annually in council tax.
“I’m not sure what our next steps will be… this implies that we won’t be able to remain here since they’re asking for additional funds from the apartments which exceed our earnings,” she stated.
The tax modifications were introduced as part of the government’s efforts to tackle issues related to secondary residences and rental properties for vacations.
The following assert that they were reducing the availability of housing in coastal and rural areas.
.
Following the implementation of these regulations, over 9,000 residences across England have been recategorized.
Ian White, of the hotel association Stay Blackpool, mentioned that he has been approached by eight additional business proprietors in comparable circumstances within the town.
He stated, “This has severely impacted the conventional holiday accommodations that Blackpool and all other coastal resorts across the nation depend on.”
Every business that has reached out to me is contemplating a sale since they are uncertain about how they will afford these new expenses.
Mrs. Robbins mentioned that she was challenging the ruling, assisted by her grandson, yet was informed that this procedure might last as long as six months.
His grandson, Jordan, stated: “No one wishes to lend a hand, no one desires to take part.”
Either this law must be altered, or both enterprises and individuals’ daily routines will face disruptions.
The VOA, set to oversee the appeals process until its dissolution in 2026, informed the News Globe that they were “highly cognizant of the challenging financial circumstances encountered by certain clients.”
A spokesperson stated that the organization is ” presently handling a large number of cases” and apologized to individuals encountering delays.
A representative from the Blackpool Council mentioned that numerous proprietors of self-catering vacation rentals reached out to the administration due to these modifications. The council directed them to get in touch with their Member of Parliament for assistance.
They included: “Should we obtain proof that an appeal has been filed, the income recovery process will be paused for 90 days.”
We recommend they reach out again if their case hasn’t been addressed within this period, allowing us to talk about extending the deadline.
‘Gobbled up’
Chris Webb, the Blackpool South MP, informed the News Globe that he had brought up Mrs. Robbins’ situation with Housing Secretary Angela Rayner.
Labour politician Webb mentioned that he comprehends the considerable stress this situation is causing for smaller, longstanding business owners such as Judith Robbins.
He continued by stating that he would keep pushing for a more equitable and adaptable system.
However, in regions such as the Lake District, where second homes or vacation rentals can make up over 50% of properties in certain locations, this policy adjustment has been viewed as essential.
The Liberal Democrat representative Tim Farron, who serves as the Member of Parliament for Westmorland and Lonsdale, stated: “In communities such as those found in the Lake District and Yorkshire Dales, we face an issue where numerous residences which could otherwise accommodate local families are instead used as infrequently inhabited second homes or rented out for short periods.”
The issue arises when numerous properties end up being owned by non-residents, leaving locals with limited places to reside.
You lose your elementary schools, high schools, family doctors… you lose your sense of community.
However, Farron mentioned that he did express compassion for the Robbins family and others facing comparable circumstances.
He stated that the present system was “excessively complex” and advocated for broader reforms in planning.
A government spokesperson stated: “We feel it is appropriate for properties to adhere to these regulations.”
Tune into the cream of the crop tracks.
Lancashire on News GlobeRadio on Sounds
and stay updated with News Globe Lancashire
Facebook
,
X
and
Instagram
You can submit your story suggestions by sending them over WhatsApp to 0808 100 2230.
Related stories
- Issues emerge as guesthouses transform into vacation rentals
- The number of holiday rental properties has increased by 40% over the past three years.
- ‘S Boom’ in second homes converted to holiday rentals
- Is the presence of second-home owners actually pushing locals out?
Leave a Reply