John Healey weighs up new tax on holiday cottages – what we know

• Chancellor John Healey is reportedly considering classifying holiday lets as second homes rather than businesses, introducing a new tax ahead of the Budget.
• Tourism leaders have warned the move could cost property owners between £1,000 and £3,000 annually, potentially forcing many to sell their businesses.
• Treasury minister James Murray confirmed the department is reviewing short-term let tax treatments following concerns over small business rates relief usage.
• The tax raid comes amidst warnings that the government needs to find up to £10bn in tax rises or spending cuts due to economic pressures.
• The news follows separate plans to grant local leaders powers to introduce an uncapped tourist tax on overnight accommodation.

IN FULL

Andy Burnham considering tax hike on holiday lets ahead of Budget