To consider pitch fees and determine early/late/other fees at Kingfisher Caravan Park from 1 January 2024.

That the following be approved:

1.              To increase rents (and use and occupation damages) at Kingfisher Caravan Park by 5.67% for the period 1 January 2024 to 31 December 2024.  5.67% represents 50% of latest RPI monthly figure published by the Office for National Statistics at the juncture this paper was published (May 2022 – May 2023);

2.              Where a licensee has no other outstanding debit on their account, the application of an early payment discount of £150 in respect of all pitch fees billed to licensees in January 2024 if paid in full by 31 January 2024;

3.              The application of a £150 late payment fee in respect of all pitch fees billed to licensees in January 2024 but not paid in full by 1 March 2024;

4.              Where a licensee has no other outstanding debit on their account, direct debit options will be offered but with no discount to the annual charge, and,

5.              Where the Council levies ‘use and occupation damages’ against an occupier (ie where no formal licence has been entered into), no discounts will be available, direct debit payment options will not be offered, but the late payment fee will apply.

A report was presented that sought approval to increase the pitch fee and to determine early/late/other fees at Kingfisher Caravan Park from 1^st January 2024. 

During his introduction of the report, the Vice Chairman advised that the licence agreements in place at Kingfisher Caravan Park provided for an annual review of pitch fees by giving one months’ notice of a change in advance of the annual review date of 1 October each year.  Notice to change the pitch fee for the period 1 January 2024 to 31 December 2024 must be sent to existing licensees by no later than 23 August 2023.

It was recommended that 50% of latest figure for the Retail Prices All Items Index available at the time of publication of this report, 5.67% (rounded), be applied to current licence fees in accordance with these requirements as well as being applied to use and occupation damages.  The latest figure of the Index, published on 21 June 2023 for May 2023 marked an 11.33% increase above the index since May 2021 (337.1 – 375.3).

(Source:https://www.ons.gov.uk/economy/inflationandpriceindices/timeseries/chaw/mm23 )

In addition, it was recommended that the early payment discount introduced by the Council in 2019 be continued and set at £150 for pitch fees to licensees invoiced for 2024 and paid in full before 31 January 2024; and that a late payment fee of £150 be applied to any invoice issued in January 2024 and not paid in full by 1 March 2024. Early payment discounts would not apply to use and occupation damages.

During discussion, Members supported the recommendations and agreed what was proposed was fair and reasonable.

RESOLVED

That the following be approved:

1.           To increase rents (and use and occupation damages) at Kingfisher Caravan Park by 5.67% for the period 1 January 2024 to 31 December 2024.  5.67% represents 50% of latest RPI monthly figure published by the Office for National Statistics at the juncture this paper was published (May 2022 – May 2023);

2.           Where a licensee has no other outstanding debit on their account, the application of an early payment discount of £150 in respect of all pitch fees billed to licensees in January 2024 if paid in full by 31 January 2024;

3.           The application of a £150 late payment fee in respect of all pitch fees billed to licensees in January 2024 but not paid in full by 1 March 2024;

4.           Where a licensee has no other outstanding debit on their account, direct debit options will be offered but with no discount to the annual charge, and,

5.           Where the Council levies ‘use and occupation damages’ against an occupier (ie where no formal licence has been entered into), no discounts will be available, direct debit payment options will not be offered, but the late payment fee will apply.

Reasons:

As a key measure of consumer inflation, using the All Items Retail Prices Index as a basis for uplift is reasonable and proportionate as RPI increases are often the minimum increases  ...  view the full minutes text for item 14