'Russian roulette' claim over second homes plan

A council has been accused of "playing Russian roulette" with residents' lives over its plan to force people to get planning permission for second homes.

Cabinet members at Cyngor Gwynedd approved a proposal on Tuesday to enforce the controversial move.

The local authority said it has a "huge housing crisis", fuelled largely by second homes, and has become the first county in Wales to issue a so-called Article 4 direction, forcing people to obtain planning permission for a second home or short-term holiday let.

Opponents have said the council is deliberately trying to "crash the housing market" and it could devalue every residential property in the local authority area.

Suzie Hookes, who owns Boudicca ladies clothes shop in Abersoch, called the plan "absurd" and "outrageous".

"It's just not fair that a council can dictate to me who we can and can't sell our houses to," she said.

Ms Hookes has lived in Absersoch for 20 years and has two Welsh-speaking children who are "fully immersed in the language".

She planned on downsizing to fund her children through university but said the Article 4 direction "narrows my market down", because it will exclude second home owners.

She fears restrictions on properties could worry mortgage lenders.

"I feel totally victimised. The sleepless nights it's caused, the anxiety it's caused.

"It's never been done before so no-one knows the outcome. Even the council don't know what’s going to happen.

"We don't know if we can get mortgages within Article 4, basically they're playing Russian roulette with our lives."

She said home owners were being penalised because the council has not built enough affordable homes.

"Your house is your biggest investment of your life, and who is anyone to say what you do with your investment?

"Had I known this all those years ago… I would never have bought a house. Why would I if you're going to introduce this? It's not right, it's criminal," she added.

Rhys Elvins, from Elvins Estate Agents in Abersoch, claimed anyone in Gwynedd selling a residential property risked not being able to achieve "open market value".

He said a lack of industry and employment opportunities were the biggest factors behind young people moving away from rural communities.

He said he did not think Article 4 would mean more affordable homes.

"It won't make a difference, there’s nearly 80 unsold properties under £200,000 within a 10-mile radius of Abersoch at the moment on Rightmove.

"The frustration is that nobody has a right to buy where they were born – that's something we see all over the country.

"For example, if you were born in Mayfair, it doesn't mean you have a right to buy a home in Mayfair, and doesn't necessarily mean you should change policies and peoples' right and freedoms to sell on an open market."

He said some buyers were stalling after being advised by their solicitors not to buy in Gwynedd until the effects of Article 4 were known.

"We've heard from buyers that they've maybe been considering moving or retiring here, but because of Article 4 they've decided against it because they don't want to leave their kids with something that's not worth as much as it was, or won't necessarily increase in value because of its residential status.

"So, it's quite sad to actually think that Article 4 is ultimately discouraging people from moving here," he said.

Mared Llywelyn, chair of Nefyn Town Council, supports Article 4 and said it was “another tool to help regulate and control the second homes problem" in the Llŷn Peninsula and throughout Gwynedd.

"We have already seen the effect the council tax increase has had, there are more houses on sale but the prices are still high for people to buy them.

"If Gwynedd council has the power to pass Article 4 they should and lead the way for other councils."

She added that the housing crisis in the area was just as bad as it was when she started campaigning four years ago and that people were being "pushed out of their communities".

"People are living in caravans on their parents land, there are no houses ro rent, this is just another way to regulate the problem."

Welsh government amendments to planning regulations have introduced three new classes of use:

• Main home
• Second home
• Short-term holiday accommodation

Councils also now have the power to control the use of houses as second homes or holiday lets.

Second home owners in Gwynedd already pay a 250% council tax rate.

A report, which was considered by the council's cabinet on Tuesday, recommended enforcing a so-called Article 4 directive under the Town and Country Planning Order, which allows councils to manage the use of housing as second homes and holiday lets.

Now it has been approved, the changes will come into effect on 1 September.

Councillor Dafydd Meurig, cabinet member for the environment said: "Cyngor Gwynedd wants to ensure that local people are able to access suitable and affordable housing locally – that is key to securing the future of our communities.

"Unfortunately, research shows that a significant proportion of people in Gwynedd are priced out of the housing market, by introducing an Article 4 direction, the council would have a new tool to try to control the impact of second homes and holiday accommodation."

The council had previously admitted the move could lower house prices.

A campaign group, People of Gwynedd Against Article 4, has raised money to fund a legal challenge which it said it would launch if the council pressed ahead.

Independent councillor John Brynmor Hughes questioned why the cabinet was allowed to make the decision rather than the full council.

"To me it's totally undemocratic, even though I do think it will pass in the council because of the power Plaid Cymru have in Gwynedd council.

"We haven't had a discussion on it, so how can it be democratic?"

To try to manage the impact of second homes and holiday lets on communities, planning changes have been introduced in Wales.

This means planning authorities like councils and national parks can introduce what is known as an Article 4 direction to manage housing.

In Gwynedd, if means a homeowner will need planning permission to use a main home as a second home or short-term holiday let; to use a second home as a holiday let; or to use a holiday let as a second home.

This will not affect anyone who has a property already used as a second home or holiday let. Nobody will have to put in a retrospective planning application if the property's use is already established.

At present, it would be possible to use a home for part of the year as a holiday let without getting planning permission.

Eryri National Park Authority – the planning authority for the area also known as Snowdonia – is also considering bringing in Article 4.