Holiday let changes 2023
The rules for business rates on self-catering properties (holiday lets) changed on 1 April 2023.
To remain eligible for business rates from 1 April 2023, your property must be:
- available for letting commercially for short periods totalling 140 days or more in the previous and current year
- actually let commercially for 70 days or more in the previous 12 months
If you do not adhere to these rules, your property will become eligible for paying council tax.
All new self-catering accommodation must initially be entered into the council tax list, for at least the first 140 days.
Only when all the eligibility rules have been met can the property be deleted from the council tax list and entered into the Non-Domestic Rating (NDR) list from the 140th day.
The property must have been made available from 11 November 2022, or earlier, to meet the 'availability test' on 1 April 2023. You will need to contact the Valuation Office Agency directly on 03000 501501 to discuss a change to a holiday let.
The Valuation Office Agency (VOA) will apply a price per bed space on each property, based on its type, size and location, to produce its rateable value.
Single bed space is the term used to describe how many people can sleep in the property.
You can find more information about self-catering and holiday let accommodation on the GOV.UK website
If the property doesn't meet the criteria
The property will be listed in the valuation listing and will be eligible for paying council tax.
You'll need to contact the VOA directly on 03000 501501 to discuss a change to a holiday let.
Alternatively, you can complete the VO 6048 form and return it directly to the VOA.