Councillors have backed plans to introduce a council tax premium on second homes which could generate £1.5millon extra revenue in Ryedale.

Members of North Yorkshire County Council agreed to introduce a 100 per cent premium for council tax bills on second homes in the county within the next two years at a meeting last week.

The new scheme will effectively double council tax bills for second home owners, and means that North Yorkshire is one of the first areas in the country to progress with adopting the Government’s new measures.

Analysis has shown that the introduction of a 100 per cent premium on council tax bills for second homes in North Yorkshire could generate in excess of £14 million a year in additional revenue.

The research has shown that Ryedale could provide about £1.5 million in extra revenue. .

The premium is outlined under an over-arching policy for council tax premiums and discounts which is being introduced when a new local authority spanning the whole of North Yorkshire is launched on April 1 next year.

Council’s leader, Cllr Carl Les, welcomed the decision by today’s meeting of the full council to pursue the council tax premium on second homes, which he claimed is a “critical tool” in helping provide more affordable housing.

He said: “Today’s decision by the full council is a major step forward to helping tackle what has been such a long-running issue that has affected communities across North Yorkshire.

“To ensure people can live in the places they want to is vital to ensure that these communities remain sustainable for the future, and the council tax premium is a critical tool in achieving that.”

Members at the full council meeting have also backed proposals to maintain a zero per cent discount on second homes that is already applied by North Yorkshire’s district and borough authorities.

The plans would introduce a zero per cent discount for properties that are unoccupied or undergoing major repairs or structural alterations.

The proposals will also see the continuation of a sliding scale of council tax premiums from April next year on properties that have been left empty or unfurnished for between two and 10 years.

However, the 100 per cent council tax premiums on second homes would not be introduced until April 1, 2024, if the Government’s new proposed legislation does become enshrined in law.

A lack of affordable housing across North Yorkshire has been a long-running issue, accentuated in many of the county’s rural and coastal locations that are among the most desirable places to live in the country. House prices in the Yorkshire Dales, for instance, are about a third higher than the county’s average.

The average cost of a property in the Dales is nearly £400,000, while the weekly wage in North Yorkshire is just over £530.