Why my £500,000 beach hut shouldn't be hit with an extra £750 a year second home tax

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“Hold on,” warns Stephen Bass, as he slowly increases the throttle of his blue and white speedboat and lets us glide through the calm waters of Christchurch Harbour.

It’s a cold, foggy January morning, but soon the picture from a postcard comes into view: dozens of colorful wooden beach huts perched on a beach headland.

It seemed unnatural that Marines would arrive at such a high speed to perform press duties. However, at Mudeford Sandbank, the cabin measures just 150 square feet Listed With a price tag of £575,000, nothing is ordinary.

Unlike other British coastal locations with beach huts, this one on the Dorset Coast, on the edge of the vast Bournemouth Bay, is secluded and surrounded by water views Build remote rural communities.

There are 344 beach huts lined up on the beach at Mudeford Sands, which is located at the entrance to Christchurch Harbour, with Mudeford Quay on the other side of the entrance. (Stephen Bass)

The cabins vary greatly in appearance. Some are stained and the wood is visibly rotten, while others are luxurious by comparison, with solar panels, new felt roofs and modern interiors befitting a Chelsea penthouse.

And their appeal, thanks in part to city sunbathers looking for a slice of seaside life during the coronavirus pandemic, has seen their prices soar, from a few thousand pounds in the 1980s to more than half a million pounds today.

But all was not well.

Beach huts on Mudeford Sands have continued to rise in price over the past decade, with one selling for a record £575,000 (Alex Ross/The Independent)

Speaking after news of the local council’s funding shortfalls, Mr Bass said: “It’s so unfair that we are being targeted.” Plans have been advanced Full second home council tax is charged to beach hut owners.

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The professional photographer, whose family has owned the beach hut since 1964, had enjoyed a 50 per cent tax discount for many years along with his 343 fellow ‘huts’, but with financial pressures on Bournemouth, Poole and Christchurch councils bosses decided to take action. Based on charges for 2025/26 this means the council tax for the cottage will increase from £752 to £1,503 per year.

Councilor Mike Cox said: “This change brings fairness and consistency to all second home owners in the area.”

But beach hut owners, who are not connected to mains electricity or water and cannot remain on their properties for the four months between November and February, believe the move goes too far.

Stephen Bath bought his shed in 1982 for £3,000 and spent £8,500 rebuilding it. Today he believes it is worth around £500,000. He says it's unfair to impose a full second home tax — Stephen Bath bought his shed in 1982 for £3,000 and spent £8,500 rebuilding it. Today he believes it is worth around £500,000. He says it’s unfair to impose a full second home tax (Alex Ross/The Independent)

They have claimed they are victims of an increase in the license fee charged by the council to rent the site on which the cottage is located, which currently stands at £3,400 a year but will rise next year.

Standing on the doorstep of his £500,000 cottage, Mr Bass said: “It’s very disappointing, we’ve paid half the cost since 1997. [second home] Council tax is payable as there is no electricity or toilets. It’s just a hut on the beach. For the past 30 years this seemed fair but now the council has priced it at the same value as a one bedroom house. This is just an unreasonable money grab by a desperate council. “

Mr Bass’s cottage cost £3,000 to build in 1982 and was later rebuilt at a cost of £8,500. Inside there is a small kitchenette with a sink and faucet connected to a water tank and kettle powered by solar panels. The kitchen opens to the living room, where old family photos from the beach hang on the walls. Going up the wooden stairwell, there is a small second floor with two mattresses, enough to sleep six people.

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“For many of us, we’ve lived here for generations, it’s our second home,” Mr Bass said. “Plain and simple, this is a money grab by the council and it will impact people like us who can’t afford the £100-a-week fees and council tax. I think it’s clear we’ll see more people selling their properties.”

Mr Bass said the council's decision to target beach hut owners was an act of pure desperation and the impact would see some looking to sell — Mr Bass said the council’s decision to target beach hut owners was an act of pure desperation and the impact would see some looking to sell (Alex Ross/The Independent)

Most of the 344 huts are arranged orderly on the beachhead, but some look haphazard, with 15-foot-by-10-foot buildings occupying almost every possible spot. Despite the focus, it didn’t feel crowded. Not on an off-peak day in January anyway.

The huts are separated by a number of communal brick toilets and tap facilities. The centerpiece of the community is a café which, despite being partially burned down six years ago, still retains its sheltered viewing area. Services are provided from a catering van, selling cans of beer from £5 and prawns and chips from £13.

The beach is a 20-minute walk from the nearest car park, or you can take the ferry from Mudeford on the other side of Mudeford Pier.

For sale signs hang in the windows of nine cabins. Hayley Reynolds is selling one of them, a sea-facing cottage with solar panels and a running water tank, for £430,000. Her family bought the house for £4,000 in 1986, but a car accident involving her brother changed their lives and they needed cash to pay for improvements to their home.

A photo from the 1950s of Hayley Reynolds' family and friends in a rented beach cabin that her mother purchased in the 1980s. — A photo from the 1950s of Hayley Reynolds’ family and friends in a rented beach cabin that her mother purchased in the 1980s. (haley reynolds)

However, with the cottage having been on the market for more than a year, the 55-year-old, who lives in Oxfordshire, fears an increase in council tax will only drive down interest rates. While the cabin remains unsold, her family will be struggling to pay the bills.

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“The committee has realized that there is wealth available to them,” she said. “But not everyone is in the same situation; some of us were just lucky enough to own a cottage and now can no longer afford it. The extra tax will only make it harder to sell and we’re looking to rent it out to pay the extra bills.”

While opposing an increase in council tax, members of the Mudeford Sandbank Beach Huts Association also pointed out the state of the toilets. They said they also spend money maintaining the cabin, which adds to the beautiful scenery for visitors.

Hayley Reynolds (left) and her mother outside the beach hut they own after it was rebuilt in 2022. The cottage is now on the market for £430,000 (haley reynolds)

However, the local council claims that around a third of the cottages are owned by local residents, noting that they are selling for more than the average price of a local authority house of £313,000.

Councilor Cox said: “We understand this change may be disappointing to some property owners, but it is important that council tax policy is applied consistently and fairly across the council area.”

He added: “Like all local authorities in England, the council faces an unprecedented and ongoing financial crisis that is not addressed by the latest government solutions. As a result of this severe financial pressure, the council must use every means at its disposal to raise funds to protect the essential services that matter to our residents.”