Welsh village celebrates overturn of second homes crackdown

A group of villagers who fought to overturn a council's crackdown on second home-ownership say they are "proud" of their "David and Goliath moment".

About 18 months ago, the council of Gwynedd, in north-west Wales, made what it called a "proactive step" to limit the number of second homes in the area.

It hoped that by introducing legislation requiring homeowners in the county to seek planning permission before turning a residential property into a second home, it would help local people who were being priced out of the market.

But some residents of Abersoch, a village on the Llŷn Peninsula which sees about 30,000 visitors during peak summer months, said the knock-on effects from the legislation - known as Article 4 - had been tough.

They described tradespeople needing to look for work further afield and long-time visitors feeling unwelcome.

Legal challenge succeeds

The People of Gwynedd Against Article 4 campaign group took legal action against the council, Cyngor Gwynedd, and in November 2025 Article 4 was quashed. Cyngor Gwynedd had a request to appeal this decision rejected last month, and said it was "extremely disappointed" and considering its next steps.

"Cyngor Gwynedd is determined to do everything in our power to ensure that the people of Gwynedd have access to suitable homes and to manage the significant number of second homes and short-term holiday lets in our communities," a council spokesperson said.

Local views on the policy

Laura Allis, 38, who lives in Abersoch, said she initially threw away a council notice about Article 4 before realizing it affected everyone in Gwynedd. She later went on to buy a second home, which she now runs as a holiday let.

Enlli Angharad Williams, 29, who grew up in Abersoch, said Article 4 "really impacted" her ability to re-mortgage the land she built her home on, when coupled with an existing Section 106 restriction. The two solicitors helped get a judicial review commissioned after £105,000 was raised by a fundraising group.

Enlli described it as a stressful time, saying she was "ecstatic" at the decision to scrap the policy, adding: "I'm proud of the community, actually. I think it's shown how much community there is left here. We can't live without the tourism here."

Impact on local economy

Llŷr Wyn Williams, 26 and from Abersoch, works for his dad's construction business and said the construction sector had been "hit the hardest" following a decrease in demand for property redevelopment. He said the sector had previously been supported by a cycle of buyers purchasing homes, renovating or rebuilding them and re-selling quickly. Now, tradesmen are looking for work in different areas.

In addition to Article 4, Gwynedd is one of a number of Welsh councils which charges a 150% council tax premium on second home properties, having upped this from 100% in 2023.

Figures published in February 2025 showed house prices in Gwynedd had fallen by more than 12% year-on-year. But average house prices in the county had increased by 0.6% in the 12 months to December 2025, according to the ONS House Price Index.

Robert Middleton, 60, has lived in Abersoch for 25 years. The pub and deli owner claimed there had been a "war against tourism" and work for tradespeople was "slowly starting to dry up" as second home owners "haven't got the money to spend".

Leigh Hookes, 52, has owned Mexican restaurant Mañana in Abersoch for 31 years and his family has lived in the village for generations. He said second-homeowners "spend thousands and thousands, millions of pounds" and that Article 4 unfairly gave away control over "what you do with your property" and had devalued his house.

Estate agent Rhys Elvins, 35, said Article 4 restricted the market and saw a "handful" of properties have their prices dropped, but since it was overturned he said there had been "a bit of an uplift".

The bigger picture

In 2023-2024, Gwynedd had the highest proportion of second homes in Wales at 8.3%, closely followed by Pembrokeshire at 6.5%, according to Welsh government data.

There have been long running concerns that second homes price out locals, as well as concerns about the impact on Welsh-language communities. Research from the council found, on average, 65.5% of Gwynedd households were being priced out of the housing market.

Jeff Smith, from Cymdeithas yr Iaith, the Welsh language society, said "early signs" suggested house prices had fallen following the introduction of Article 4. "This is a good thing, as it allows local people to remain in the area, in a county where 65% of the population are priced out of the housing market," he added.

Cyngor Gwynedd councillor Craig ab Iago said Article 4 being quashed was "disappointing". "This isn't an emotional thing, it's just us trying to to home people who don't have homes," he said.

A judge ruled Cyngor Gwynedd's cabinet had not been given the full details before making their decision, and quashed Article 4. The council's request to appeal was rejected in February.

The Welsh government said "everybody should have access to a decent, affordable home to buy or rent in their own communities". A spokesperson added: "We are taking radical action using the planning, property, and taxation systems to achieve this, as part of a joined-up package of solutions to a complex set of issues."

The Welsh Conservatives said the measures in Gwynedd would "instead hit the very people they should support such as local trades, small businesses and families at the heart of the community".