NEW RULES introduced to limit the number of second homes in Wales will “drive businesses to the wall”, one Pembrokeshire holiday let owner has said.

The changes introduced by the Welsh Government means that properties need to be occupied for at least 50 per cent of the year – or more than 182 days – to prevent them from being classed as second homes and being subject to 300 per cent council tax premiums.

Previously, properties had to be available for let for at least 140 days, and actually let for 70, to be classed as paying business rates rather than council tax.

Pembrokeshire County Council is currently operating a 100 per cent council tax premium for second homes, and is expected to hold a consultation on whether to introduce the 300 per cent rate from next year.

Ian and Carol Pattinson, of Discover Walking Pembrokeshire, said many self-catered holiday lets are unsuitable to be used as private dwellings, and the new rules could force legitimate businesses which were on the borderline to go under due.

“Like my own, many self-catering properties cannot be sold separately,” said Mr Pattinson.

“Many are unsuited for use as permanent dwellings and many are away from the areas of employment, so they cannot contribute positively to the housing stock issue. 

“I read many of the pleading inputs offered by small, rural, self-caterers during one of the consultation phases and was deeply touched by the emotion voiced by those who saw only the end of the road for their much loved, family businesses.

“The Welsh Government are not listening and seem hell bent only on raising money and damn the consequences.

“On a personal note, I might be close to the 182-occupancy level but that does not mean that I am not deeply affected by it or that it is not impacting my whole quality of life.

“Every day it occupies my mind, I count the bookings I have and wonder if and when the next booking might arrive.

“At best these spiteful, callous, punitive, and poorly targeted measures will drive many legitimate businesses to the wall and at worst, I genuinely fear that the mental anguish caused by the very real threat of Premium Council Tax will push some over the edge.”

Paul Davies, Welsh Conservative MS for Preseli Pembrokeshire, said on visiting the business: “I’m very thankful to Ian and Carol for allowing me to visit to explain the impact that changes to occupancy rates rules are having on their business.

“Their business is one of many across Pembrokeshire that will be negatively impacted as a direct result of this rule change and it’s very frustrating to see that the Welsh Government has not listened to businesses like theirs.

“Instead, Ministers in Cardiff Bay have pushed ahead with these changes, in spite of strong opposition from the industry.

“Pushing businesses like this is not the way to solve the housing stock crisis and could seriously threaten our tourism industry.

“I’ll continue to work with colleagues at the Senedd to oppose this rule and encourage the Welsh Government to rethink these regulations, in light of the damaging impact they’re having on businesses like Ian and Carol’s.”