Running holiday lets in the Cotswolds, where second homes pay double council tax
If you manage or clean holiday lets in the Cotswolds, the first thing to check is which council your cottage sits under. Cotswold District Council has charged a 100% council tax premium on second homes since 1 April 2025. A let that passes the self-catering test moves to business rates instead, and England's national register is expected to open in March 2027. Upbridge's AI operations assistant, Cleo, works over WhatsApp with vacation rental operators and cleaning companies and organizes the cleanings and the inventory for each place.
The rules here
The Cotswolds is a landscape that crosses council boundaries, and this page only covers Cotswold District Council plus the rules for all of England. We read every row on 24 October 2026.
| Topic | What it says | Status | Since | Source |
|---|---|---|---|---|
| Second homes premium | Cotswold District Council adds 100% to council tax on a second home, so the bill is double. Full Council voted for it on 20 March 2024, and the council's page lists exceptions such as annexes, job-related homes and seasonal homes with occupancy restrictions. | In force | 1 April 2025 | Cotswold District Council, council news |
| Holiday let or second home | If you say your property is a holiday let and not a second home, the council keeps charging council tax at the appropriate rate until the Valuation Office Agency moves it to the business rates list. | In force | 1 April 2025 | Cotswold District Council |
| Business rates test | A self-catering property in England has to be available to let commercially for at least 140 nights and actually let for at least 70 nights in a 12-month period. Nights in stays longer than 28 nights don't count towards the 70. Since 24 July 2026, an owner of five or more lets in the same property can qualify without those tests. | In force | 24 July 2026 (five or more lets) | GOV.UK |
| National register | GOV.UK says the registration scheme for short lets in England is expected to begin in March 2027. We found no page that says what hosts will have to submit. | Not yet in force | March 2027 (expected) | GOV.UK |
| Planning permission | In February 2024 the government said it would introduce a new use class for short-term lets, with permitted development rights for people who let their main home for up to 90 nights a year. GOV.UK's current guidance says only that your local planning authority decides whether you need permission, and we could not confirm that the new class is in force. | No specific law | Not set | GOV.UK 2024, GOV.UK 2026 |
The rest of England's rules, including the end of the furnished holiday lettings tax regime and the fire guide, are on the England page.
This is not legal or tax advice, and Upbridge does not file anything for you: no registrations and no tax returns.
How it works on the ground
The council commissioned a model of its visitor economy from The South West Research Company, published in November 2025. For 2024 it estimates 543,000 staying trips in Cotswold district and 1,768,000 nights, and 5,369,000 day visits. Of the nights stayed by visitors from within the UK, 441,000 were in self-catering and 260,000 in serviced accommodation, which makes self-catering the largest type of stay among UK visitors. The report calls these modelled estimates, and they are not counts.
In March the Cheltenham Festival runs from Tuesday 16 to Friday 19 March 2027 according to the Jockey Club, with gates opening at 10:30 each day. Cheltenham is outside Cotswold district, but the tourism partnership lists Cheltenham Spa among the stations for getting to the Cotswolds, and it says a bus to Cirencester from there needs one change and takes about an hour. If your flat is within reach of Cheltenham, expect a week of changeovers on consecutive days.
Most guests arriving by train get off at Moreton-in-Marsh, Kemble or Charlbury, all of which the partnership says are reachable from London Paddington, and then need a bus. From Moreton-in-Marsh the 801 takes about 30 minutes to Bourton-on-the-Water, and from Kemble the 882 takes 20 to 30 minutes to Cirencester. The Villager V25 bus from Kingham station runs on Wednesdays only, so a guest who arrives on any other day needs a taxi or a lift.
Your arrival message should name the station and the bus, and say what to do when the bus has stopped running.
Where Upbridge fits
A cottage in a village can be a long drive from the next property on your list, so a missing item costs more than it would in a city flat. With Upbridge each checkout creates a cleaning with a room-by-room photo checklist, and the cleaner reports missing items and damage from the house itself, so you know before the next guest arrives whether anyone has to drive back out.
For the guest on the 801 bus, the guest guide we build can carry the station, the bus number and how to get into the house. If you look after the cottage for an owner who lives elsewhere, the inventory per property and the owner report show what was used and what was replaced, without a phone call after every stay.
If you run a cleaning company in the Cotswolds
A day of cleaning in the Cotswolds is partly a day of driving between villages. The account for cleaning companies puts every owner's calendar in one place, so you can see which houses turn over on the same day and plan the route, and each client stays yours.
Questions about holiday lets in the Cotswolds
Does Cotswold District Council charge extra council tax on second homes?
Yes. The council applies a 100% premium on second homes from 1 April 2025, which doubles the bill. Full Council decided it on 20 March 2024.
Does a Cotswolds holiday let pay council tax or business rates?
It pays business rates once it meets the GOV.UK test of 140 nights available and 70 nights let in 12 months and the Valuation Office Agency moves it to the business rates list. Until then Cotswold District Council says you stay on council tax.
When does England's short-let register start?
GOV.UK, updated 2 October 2026, says the registration scheme is expected to begin in March 2027.
More questions
When is the Cheltenham Festival in 2027?
The Jockey Club lists it for Tuesday 16 to Friday 19 March 2027.
Sources
Checked on 24 October 2026
- Cotswold District Council, “Second homes”, undated, read 24 October 2026.
- Cotswold District Council, “Council clamps down on empty and second homes to help tackle housing crisis”, 21 March 2024.
- GOV.UK, “Letting out a self-catering holiday home in England: rules and regulations”, updated 2 October 2026, read for the register date and the planning wording.
- GOV.UK, “Apply for business rates for a self-catering property in England”, updated 29 September 2026, read for the 140 and 70 night tests.
- GOV.UK, “Delivering a registration scheme for short-term lets”, 19 February 2024.
- The South West Research Company, “The Economic Impact of Gloucestershire's Visitor Economy 2024: Cotswold district”, November 2025.
- Cotswolds Tourism Partnership, “Getting to the Cotswolds by train and bus”, undated, read 24 October 2026.
- The Jockey Club, “Cheltenham Festival event schedule”, undated, read 24 October 2026.