B&B owner’s fury at second homes grant

The B&B Association has written an open letter to every MP about the plight of more than 10,000 bed and breakfast businesses, including in this area,that are unable to claim from a Government £10,000 grant scheme as they pay council tax rather than business rates.

One business owner currently excluded from the scheme is Fiona Gardham, who runs the Eighteen97 B&B in Goathland.

She said on their street alone, five of the 14 properties are second homes and added the situation with the grant system has left a bitter taste in the mouth.

She said: “B&B owners generally work seven days a week most of the year and have been frozen out of the grant scheme even though we are paying thousands in council tax to support local services.

“Then second home owners who contribute nothing to the local economy are getting £10,000. Do they really need it when so many small businesses, not just B&Bs, are being missed out?”

If a second home is available for let for 140 days a year, such properties can be registered as businesses and be exempted from council tax.

Many also do not pay business rates either as they are eligible for small business rates relief. The rules of the new grant scheme, which is being administered by local councils, mean such properties can qualify for the Government support.

The association said: “The genuine B&B businesses losing out have been dismayed – even outraged – to read reports about second-home owners who have registered for business rates to save tax being eligible for the grants for their second homes. Such anomalies add insult to injury.”

A message from the Editor:

Thank you for reading this story on our website. While I have your attention, I also have an important request to make of you.

In order for us to continue to provide high quality and trusted local news on this free-to-read site, I am asking you to also please purchase a copy of our newspaper.

Our journalists are highly trained and our content is independently regulated by IPSO to some of the most rigorous standards in the world.

But being your eyes and ears comes at a price. So we need your support more than ever to buy our newspapers during this crisis.

With the coronavirus lockdown having a major impact on many of our local valued advertisers – and consequently the advertising that we receive – we are more reliant than ever on you helping us to provide you with news and information by buying a copy of our newspaper.

Thank you