Affordable housing is a nationwide issue, but for each area, the causes and therefore solutions are different. Cornwall has a higher concentration of holiday homes and more second homes than anywhere outside London. This, along with its geographical isolation and some of the lowest local wages, means that Cornwall has complex housing needs that will not be solved by simply building more houses for the open market. Cornwall needs homes for local working people at prices they can afford.
Cross-party cooperation on better measures would be a step forward. The Liberal Democrats have been campaigning on potential solutions for many years, but the Conservative government only belatedly and half-heartedly supported some of the following measures:
Firstly, double council tax for second homes: This will finally take effect in April, potentially raising an extra £24-million for Cornwall Council. But the last government had also left Cornwall Council with an annual funding gap of £67-million, so this extra money will have to be used just to keep delivering basic services, not building more affordable homes. Now the new Labour government has made the situation even worse by cutting our £6-million "rural service delivery grant", as well as hitting us with millions of pounds of extra National Insurance costs.
Secondly, have a register for holiday rentals: Requiring all short-term rentals (like Airbnb) to be registered with the council will ensure that properties have all the relevant safety measures, insurance and permission. The scheme was announced in 2023, but after seven months of the Labour government, they still cannot confirm whether or not it will be in place in time for the 2026 holiday season!
Thirdly, have a new "use class" for holiday homes: One of Michael Gove's final acts as the Conservative Housing Secretary was to announce that converting a full-time home into a "short term rental" (e.g. Airbnb) would be a "change of use". This could allow communities to limit the number of houses used as holiday accommodation, but the details of this policy still haven't been confirmed, so the powers cannot be used. The Conservatives also said that "second homes" would remain in the same "use class" as full-time residences. The Labour government in Wales created a separate use class for second homes, and allowed Councils to apply restrictions to their whole area. The Labour government in Westminster appears to be following the example of the last Conservative government. If it followed the example of the Welsh government, then Cornwall could have the power it needs to control second homes and holiday rentals very soon.
The Liberal Democrats are continuing to show leadership on these issues, and St Ives MP Andrew George has secured a meeting for all six Cornish MPs with the Housing Minister Matthew Pennycook later this month (February). If all six MPs stand together and get the Minister to adopt these Liberal Democrat policies without further delays or loopholes, we could see some real change for the better in the Cornish housing market.