Has it been decided if council tax increases will take loft conversions in to account?

Question

Has it been decided if council tax increases will take loft conversions in to account?

Answer 1

How do you mean? Have they been considering changing the rules?

Up to now, the rule has always been that improvements made to a property can only alter its Council Tax band when it is sold. Do what you like to your own property - it will stay in the same band as when you bought it - but whoever you sell it to may well find themselves in a higher band.

Apologies if that is not what you were asking. I couldn't make out exactly what info you were after.

Answer 2

No this has not been decided. When a property is improved (e.g. an extension is built), legislation prevents the VOA (Valuation Office Agency, part of HMRC not the council) from increasing the existing band of that property until there is a “relevant transaction”. Relevant transaction" simply means that the property has been sold as a freehold, or a lease for a period of seven years or more has been granted or transferred (i.e. sold to another party).



improvements made to a property can only alter its Council Tax banding after it is sold

Answer 3

It would not surprise me because if you change a two bedroom house into a three bedroom house maybe there is a possibility that you more up a band.

Plus the council don't seem to need much of an excuse to charge more money.