Pembrokeshires lead in maximising the income it raises from holiday home council tax charges could soon be copied by English counties.

It emerged this week that authorities in England could be given powers to follow Pembrokeshire County Councils example of charging full council tax rates to the owners of second homes.

The Pembrokeshire authority uses discretionary powers to deny the owners of second homes exemptions or discounts, in a move welcomed by campaigners for affordable properties.

A recent survey revealed a worrying shortfall of affordable houses for young people attempting to climb on to the bottom rung of the property ladder. They are often outbidded by people with larger incomes who are looking for a holiday home in the county.

But the owners of these holiday properties, unlike counterparts in other Welsh and English counties, pay the same council tax rate as those resident in Pembrokeshire.

It raises Pembrokeshire County Council thousands of pounds in revenue to plough back into local services. Homes in the highest tax band pay £1,020.32 for county council services alone, while those in the lowest contribute £340.11.

But not everyone agrees with this policy. Christian Done, general manager of Saundersfoot-based Powells Cottages, says it gives second home owners in regions charging 50% rates a competitive advantage.

This idea has been piloted in other areas, and in those locations such as South Cornwall, the cost of holiday lets has gone up, the owners having passed on the cost of the increased council tax charge, he said.

I understand the argument that holiday homes get quite heavy use during the holiday season, but this is balanced by the fact that they are unoccupied for part of the year.

Sixty-two per cent of second homes in the Pembrokeshire Coast National Park are occupied for less than three months a year.

David Lort-Phillips, who has long championed the need for sustainable communities, supports Pembrokeshire County Councils policy.

In Lawrenny we are struggling to keep our shop and post office open. If the council is able to charge more and then use this money to support local communities it is a good means of recycling resources, said Mr Lort-Phillips, of Knowles Farm, Lawrenny.