Parliamentary.ai

Overview

This bill amends the Mobile Homes Act 1983 to change how pitch fees are calculated for mobile homes in England and Wales. Instead of using the Retail Prices Index (RPI), it will now use the Consumer Prices Index (CPI) to determine annual increases.

Description

The primary change introduced by this bill is the substitution of the Retail Prices Index (RPI) with the Consumer Prices Index (CPI) for calculating annual increases in pitch fees for mobile homes. This adjustment impacts the calculation of pitch fees under Chapters 2 and 4 of Part 1 of Schedule 1 of the Mobile Homes Act 1983. The bill explicitly defines the CPI and clarifies its use in the context of pitch fee reviews. It also includes provisions to address situations where a fee increase is proposed to compensate for losses incurred due to the CPI change. These situations would be deemed unreasonable by the court and the impacted portion of the proposed fee increase would be considered invalid. The bill applies to both pre-existing and future agreements and will come into effect two months after it receives Royal Assent. The bill only extends to England and Wales.

Government Spending

This bill is not expected to directly impact UK government spending. The change affects the calculation of pitch fees, which are primarily determined by the park owners, not directly funded by the government.

Groups Affected

• Mobile Home Owners: May experience a lower increase in annual pitch fees if CPI is lower than RPI in a given year. Conversely, if CPI is higher than RPI this may lead to an increase in pitch fees.
• Mobile Home Park Owners: May see their income impacted, potentially lower due to using CPI instead of RPI.
• Courts and Tribunals: Will need to apply the provisions of the act in resolving disputes related to pitch fee calculations.