Can a Park Owner Increase Your Site Fee Without Notice?

If you live in a Park Home or Park Bungalow, your site fee is one of the biggest ongoing costs you'll deal with. So when that figure changes, you want to know it's been done properly. The short answer to this question is no. A park owner can't just increase your site fee whenever they like, and they definitely can't do it without telling you first. There are clear rules in place to protect you.

Here's how the process actually works, what the law requires and what you can do if something doesn't look right.

What the Law Says About Site Fee Increases

Site fees on residential Park Home developments are governed by the Mobile Homes Act 1983, which has been updated several times since it was first introduced. The most recent significant change came through the Mobile Homes (Pitch Fees) Act 2023.

Under this legislation, a park owner can only review your site fee once per year. They can't increase it more often than that, and they must follow a set process every time.

The key rule is this: the park owner must give you at least 28 clear days' written notice before the review date. That notice has to set out exactly what the proposed new fee will be and how it's been calculated. It also has to be accompanied by an official pitch fee review form, which breaks down where the increase comes from.

If a park owner tries to raise your fee without serving this notice, the increase isn't valid. You won't be obliged to pay it.

How the Annual Increase Is Calculated

Since July 2023, all pitch fee reviews in England and Wales must use the Consumer Price Index (CPI) to calculate any inflationary increase. Before that, the Retail Price Index (RPI) was used, which tended to produce higher figures.

This change was introduced through the Mobile Homes (Pitch Fees) Act 2023, and it was designed to keep annual increases more predictable and manageable for residents. CPI is generally lower than RPI, so most Park Home owners will see smaller year-on-year rises than they would have under the old system.

The park owner can't simply choose whichever index suits them. If they use RPI in their calculations after July 2023, the entire review is invalid and you don't have to pay the proposed increase. You should, however, continue paying your existing fee until the matter is resolved.

On top of the CPI adjustment, a park owner may also factor in costs for genuine site improvements. But they'll need to have consulted with residents beforehand, giving at least 28 days' written notice of the proposed works and explaining how the improvements will affect the fee.

Your Rights as a Park Home Resident

The Mobile Homes Act gives residents on protected sites a number of rights that go well beyond site fees. You have security of tenure, meaning the park owner can only end your agreement through a court order. You also have the right to sell your Park Home on the open market and to pass it on to a family member.

When it comes to site fees specifically, the park owner must be transparent about how the fee is calculated and what it covers. They can't add hidden charges or increase the fee outside of the annual review process.

If you ever feel you're being treated unfairly, organisations like the National Association of Park Home Residents (NAPHR) and your local Citizens Advice can offer guidance.

What Park Bungalow Buyers Should Look for

If you're thinking about buying a Park Bungalow, ask about the site fee upfront. Find out what it includes, what the current annual figure is and when the next review date falls. A reputable developer will be open about all of this from the start.

It's also a good idea to ask what index is being used for reviews and whether there have been any recent tribunal cases on the site. This will give you a clearer picture of how fees are managed. Knowing your rights before you move in will put you in a much stronger position if any questions come up later.