French property owners warned

Guernsey residents with property in France have been urged to keep a watchful eye on the government's attempts to claim more tax from holiday homes.

The new socialist regime, headed by President Francois Hollande, has announced new plans to increase tax on rental income from second homes from 20% to 35.5% and gains tax on sales from 19% to 34.5%.

It is estimated that 200,000 Britons own second homes in France - and president of the Guernsey French House Owners Association Ron Le Moignan, pictured, said the group had 180 members on its books.

He said he would be circulating the information, warning homeowners to keep an eye on the situation.

But he added that, while the development was bad news, it was not a disaster.