Holiday Parks Industry Relieved by Governement Decision on Caravan Tax

The Coalition Governement has revised its budget proposals which originally suggested introducing 20%VAT on the sale of static caravans from Ocotber.  Instead, a new reduced 5% rate is to be introduced from April 2013.

Michael Paul, leisure property consultant and managing director of leisure property consultancy business MPC said of the tax ‘The proposed rise in VAT from 0% to 20% would have been the final straw for many leisure businesses, and likely to prove false economy for the government.

The nature of the Holiday parks is such that the industry is already seasonal.  In many parts of Britain the local holiday park is the major employer  in our more fragile rural and often cash strapped coastal communities and its customers are essential to sustaining the local economy.  Add to this the challenges of dealing with managed retreat in coastal areas and many would have been forced to closed and jobs lost as a result.  The uggestion to reduce this ti 5%is more realistic and should be easier to bear.’

Ros Pritchard OBE, Director General BH&HPA said of the developments: ‘The industry is very grateful to the MP’s who spoke up and supported their constituents’.

The finance Act 2012 containing the new caravan VAT measures received Royal Assent on July 17th, so that from April 6th 2013:

1.The sale of caravans which conform to BS 3632 will be zero rated for VAT (0%)
2.The sale of touring caravans (less than 7m in length) will be standard rated for VAT (20%)
3.The sale of other caravans will attract the resuced rate (5%)
This means that the 5% VAT will apply to the sale of caravans which do not conform to BS 3632 and are not touring caravans.

Calling All Silver Surfers

Have you always wanted to have a go at surfing? You’re never too old to try and why should young folk have all the fun? Thrown down the gauntlet and get your wetsuit on.

Check out Falmouth & Porthtowan Surf School at Porthtowan on the North Coast of Cornwall. The village lies between St Ives and Newquay and boasts a Blue Flag Beach, only one of five awarded in the County. The owner of the School Spencer Webb is in his late 40’s and now that he’s approaching his half century landmark he’s keen to attract an older age of pupil. To avoid any embarrassment or intimidation from having to mix and mingle with the younger hedonistic set why not club together with your “old mates” and book a 2 hour session for your group alone. Courses are run all year round. Prices are from £25 for a 2 hour lesson or £40 for 2 sessions. Discounts are available for groups of 10 surfers or more. The price includes tuition and wet suit and board hire.

It’s far more fun than surfing the net!