People owning second homes face big rises in the council tax they pay from today and communities across the country should benefit from a range of new local government laws that came into force from April 1st.

The 50% discount on second home council tax is set to be replaced by a 10% discount by most local authorities who now have greater control over their council tax discounts.

As well as reducing the council tax discount on second homes, billing authorities can now charge full council tax on long-term empty homes and introduce their own discounts or exemptions from council tax.

Last November, South Hams Council, in Devon - which has one of the highest levels of second home ownership in England - became the first local authority in the country to decide to reduce the council tax discount. Norfolk and the Lake District also have high proportions of holiday homes and will feel a major improvement in income.

Across England as a whole the potential extra income is over £60m.

Many more have since made the decision to reduce the discount on second homes but not all are using the increased revenue in the same way. Some councils are planing to use the money to help with affordable housing for local people squeezed by soaring house prices, others are using the money to reduce the impact of council tax rises.

The new financial regulations will also free councils to invest in their local areas; amateur sports clubs will get discounts on their business rates for example.

Local authorities will be free to borrow without government consent to pay for the assets their communities need - provided they can afford to take on the debt.