The Home Builders Group is run by FMB members who are engaged in house building, and it needs YOUR help.
The group meets three times a year and aims to raise the credibility, influence and profile of the FMB with regard to home building, repair, and maintenance work in the UK and to make members aware of best practice in the housing market.
It regularly works with government and policy makers through the FMB External Affairs Department in order to represent members’ views on housing policies and to ensure that the FMB is consulted when new legislation is being drafted.
Council Tax on properties that are not habitable
The FMB wants to hear from members who have been charged Council Tax on properties that are not yet habitable. This is a major problem for some house builders and the FMB has already been in contact with the Council Tax Division within the Department of Communities and Local Government who are now asking for documented evidence of the problem and suggested proposals for reform.
The problem is being caused by local authorities charging Council Tax on new properties that are not habitable which is placing a further burden on house builders at a time when house building is at its lowest level since 1924. In practice, local authorities are choosing to interpret the term ‘completion’ in different ways as it is not defined in statute. The result is that interpretations tend to favour local authorities rather than developers. For example, in the case of the Borough Council of Kings Lynn & West Norfolk Council, a property is deemed ready to be considered and ready for banding even if the following work has not been carried out:
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Internal decoration of the property
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Final fitting of sanitary ware and kitchen units
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Final fitting of electrical plug point and switches
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Final connection of water, gas and electricity (although services should be laid on to site).
The situation arises because the criteria for determining the ‘completion’ of a property for Council Tax purposes are substantially different to that for determining completion for Building Control. Therefore, whether building control certificates have been issued or not is not directly relevant. The general position is that in order to be considered complete, the building needs to be weatherproofed and structurally stable, while internal components are deemed less important.
FMB External Affairs Department now wants to hear if you have experienced this problem and if you have any thoughts or ideas about how it could be overcome. Please send your comments to Brian Berry, Director of External Affairs
Email: brianberry@fmb.org.uk
Post: 14-15 Great James Street, London WC1N 3DP
