Caroline Byford, a retiree in Wales, has been issued a council tax bill of over £9,000 for a holiday let converted from an outbuilding on her property. Pembrokeshire council has classified the restored milking parlour as a 'second dwelling,' subjecting it to a substantial council tax premium. Byford argues that the classification is unfair, as the outbuilding can only be accessed through her main home and shares utility services with it.
Byford, 62, purchased the Grade-II listed farmhouse and the adjacent outbuilding in May 2024. She intended to use the restored milking parlour, located just three meters from the main house, as a holiday rental to supplement her pension. However, the council's assessment has led to a sharp increase in her tax obligations.
Her council tax bill for the 2024/25 year included £6,032.64 for the holiday let, with a 200 percent second home premium, and £2,010.88 for her farmhouse. For the 2025/26 period, the tax for the holiday let rose to £6,223.13 with a 150 percent premium, and the farmhouse tax increased to £2,941.84, totaling approximately £9,164.97 for the year.
Byford stated that the building cannot be sold independently due to the lack of external access. To meet the requirement of renting the property for at least 182 days a year, she and her husband, Shaun, 64, must be available on-site to assist guests, limiting their own ability to travel or plan time away. The need to accommodate families often booking during school holidays also complicates achieving consistent bookings for longer periods.
She expressed frustration, questioning the incentive to preserve old farm outbuildings if it results in financial penalties. Byford also noted the impact on their privacy and use of their own property due to the presence of holiday guests. She has contacted local Members of Parliament, receiving only interim responses while her case is under review. Pembrokeshire County Council has been approached for comment.