Owners of some of Britain's most exclusive beach huts have accused their local council of treating them like 'wealthy NIMBYs' after being ordered to pay full council tax on the properties, which are now being classed as second homes.
Council Scraps Historic Tax Discount
For years, the Bournemouth, Christchurch and Poole (BCP) Council did not categorise the timber cabins on Mudeford Spit and Hengistbury Head as second homes. This entitled their owners to a 50 per cent discount on council tax. That arrangement is now being torn up as the cash-strapped authority searches for new revenue streams.
From April, 344 beach huts along this idyllic stretch of Dorset coastline will be officially reclassified as holiday homes and placed in council tax band A. This move will see their owners lose the valuable discount, with annual bills leaping to £1,503 – an increase of more than £60 per month.
A 'Wooden Shed' or a Valuable Asset?
The decision has sparked outrage among hut owners, who argue the structures are basic and cannot be used year-round. Darren Pidwell, Chairman of the Mudeford Sandbank Beach Hut Association, stated they are considering legal action.
'We are considering the legal basis for the application of council tax on what is a wooden shed with no mains connections or individual toilet facilities,' he said. The huts can only be slept in for six months of the year and lack running water and mains electricity, often relying on solar panels and gas bottles.
However, council officials counter that the tax bill is 'relatively small' compared to the huts' value. These modest structures, measuring around 13ft by 16ft, command staggering prices, often selling for between £400,000 and £575,000. This eclipses the area's average house price of £313,000. One hut sold for £430,000 last year, having been bought for just £60,000 in 1997.
Funding Crisis Drives Policy Change
The council defends the move as a necessary measure to address a severe financial shortfall and ensure fairness. Cllr Mike Cox, Cabinet Member for Finance, explained the council faces an 'unprecedented, ongoing financial crisis' and must use all levers to raise funds for essential services.
'And, while we welcome all those who want to enjoy our beautiful coastline, we must recognise that this brings extra demand for services such as beach cleaning and flood protection – the cost of which is mostly borne by our residents,' he said. The change is expected to raise an additional £211,000 for local services.
The policy shift notably affects owners who live outside the area; 231 of the 344 huts are owned by people not resident in the BCP council area. The council asserts the change 'delivers fairness and consistency for all owners of second homes in the area,' even if it is 'disappointing for some.'
