Families warned over 'extremely unfair' six-month council tax 'penalty'

Families have been warned over a council tax rule that 'penalises' people dealing with the loss of a loved one. They have been urged by an inheritance disputes lawyer to stay vigilant about unexpected council tax bills on inherited properties - particularly due to the 'second home' premium that some councils may enforce immediately following a death.

Currently, most local authorities provide a six-month suspension of council tax on homes left vacant after the owner has passed away. Nevertheless, with the legalities surrounding probate, property sales, and conveyancing often taking longer than this period, families could find themselves facing surprise costs.

The alert comes in the wake of a council in England slapping an estate property with a second home charge despite it not being used as such. The typical six-month reprieve was not applicable because, technically, the property was in the son's name when its owner died, prompting the council to treat it as a second home.

Andrew Wilkinson, who leads the inheritance disputes team at Lime Solicitors, labelled the council's move as "incredibly harsh". He said: "It's deeply concerning to see councils imposing hefty council tax bills on grieving families who are already navigating the complex probate process. In all my years of practice, this isn't something I have seen before, and it feels extremely unfair, especially when executors are actively trying to deal with the estate."

The process of dealing with a deceased person's property can be excruciatingly slow, often taking over a year to secure probate and complete the sale. "In most cases, it takes many months, often over a year, to obtain a grant of probate, arrange a sale and complete conveyancing. That means most families are already struggling with delays before they even get the chance to put the property on the market. If councils start piling on charges prematurely, it only adds to the emotional and financial stress," he added.

"Families dealing with estate properties should proactively communicate with their local council to explain the situation and timelines. This can help in negotiating any available exemptions or reliefs. Additionally, if a property is expected to remain vacant for an extended period, renting it out might be a viable option to offset council tax liabilities, though this comes with its own set of responsibilities and considerations."

This advice is particularly pertinent as the UK Government intensifies its campaign against second homes to alleviate housing shortages, reports the .

From April 1, 2025, councils across England have been empowered to impose a 100 per cent council tax premium on furnished properties that aren't the owner's primary residence.

Initially targeted at reducing the number of second homes in coastal areas, as introduced by Michael Gove in 2023, the policy now has wider implications, impacting more property owners.

Andrew said: "This policy was designed to free-up housing, not penalise bereaved families. The loss of a loved one is already a challenging time.

"Families shouldn't be further burdened by unexpected financial pressures due to administrative oversights or rigid policies.

"It's imperative councils handle such situations with the sensitivity and understanding they deserve.

"Probate is complex enough without councils jumping the gun on tax."