The Market
Why Cornwall is One of the World's Premier STR Markets
Cornwall is Britain's biggest holiday-let market and its most argued-about one, and both facts are now written into the tax bill. Since 1 April 2025 Cornwall Council has charged a 100% council tax premium on second homes, and by March 2026 the premium element alone had raised £24.7 million from the 10,740 properties classed as second homes out of roughly 289,000 dwellings in the county. Six weeks earlier, the Furnished Holiday Lettings tax regime had ended nationally, so a mortgaged Cornish cottage lost its interest relief and its 10% capital gains rate in the same spring the council doubled the standard bill on anything not run as a genuine business. What is not in force, despite a great deal of confident writing online, is a licence: England's national short-term-let register has slipped repeatedly and is still not live in mid-2026, the C5 use class has not been laid before Parliament, and Cornwall Council has not made an Article 4 direction removing permitted development rights for holiday lets — its own guidance describes that as a power it could seek, taking up to a year. The one place the planning system already bites hard is St Ives, where the neighbourhood plan adopted by referendum in May 2016 restricts new open-market homes to principal-residence occupancy. What all of this produces is a market that has stopped rewarding casual ownership and started rewarding operators.
Cornwall's demand is enormous, seasonal and increasingly split between two very different businesses. The summer business is families: six weeks from late July that fill everything within a mile of a beach at the year's top rates, booked from January by people who have been coming to the same cove since childhood. The other business is the shoulder — surfers, walkers on the South West Coast Path, food travellers heading for Padstow and Port Isaac, dog owners, and the retired couples who deliberately avoid August — and that is where the margin now sits, because the summer weeks sell themselves and the spring and autumn weeks do not. Geography sets the rate: the north coast from Bude through Padstow, Newquay and St Agnes trades on surf and drama, the south coast from Fowey through Falmouth to the Roseland trades on sheltered water and sailing, and the far west around St Ives, Penzance and the Lizard trades on light, art and the last-place-in-England romance. Blended nightly rates sit near £178 with occupancy around 56% across tens of thousands of listings, which is the honest picture of a market where a genuinely great property is full and an average one is empty for half the year. Small hotels, inns and surf lodges compete for exactly the same guest.
Top Attractions & Landmarks
- St Michael's Mount
- The Eden Project
- The Minack Theatre at Porthcurno
- Tate St Ives and Barbara Hepworth Museum
- The South West Coast Path
- Lost Gardens of Heligan
- Tintagel Castle and its cliff footbridge
Nearby Markets: Devon | Bath | Brighton