What immediate action is the Welsh Government taking to ensure self-catering accommodation businesses affected by recent wildfires are not unfairly disadvantaged by the 182-day occupancy threshold for non-domestic rates, and will exceptional circumstances will be reflected in the ongoing review of the threshold?
The criteria used to classify self-catering properties for local tax purposes are prescribed in legislation. Refinements to the application of the 182-day letting threshold were confirmed and introduced by the previous Welsh Government earlier this year. An average of the days let over the past two of three years may now be taken as evidence of compliance, where 182 days letting is not achieved in the latest year. This provides flexibility for operators and supports stability for those who may occasionally fall short by a narrow margin (e.g. due to a temporary drop in demand resulting from circumstances beyond their control).
I have also published a statement and consultation on our approach to reviewing the 182-day threshold and proposed exemptions.