Possible Tax Relief on Granny Flats.

You may have read the news recently and spotted that the government is considering plans that mean families could be given tax relief on 'granny flats' linked to their property.

As it currently stands, households pay twice the council tax of a normal property as any converted outbuildings are classed as separate properties. An estimated 300,000 people could benefit from this tax break.

The government has been considering a relaxation of the regulations to make it easier for families to convert their homes to accommodate relatives.

Community Secretary, Eric Pickles, has commented that he would like to eliminate council tax for annexes stating that the current system is 'fundamentally unfair'.

He also commented in the Daily Telegraph that: "We are keen to remove tax and other regulatory obstacles to families having a live-in annex for immediate relations.

"We should support homeowners who want to improve their properties and standard of living. These reforms should also play a role in increasing the housing supply."

Watch this space for further details.

Head of Conveyancing

Ellen Court Partnership