Mobile Homes (Pitch Fees) Bill

(Limited Text - Ministerial Extracts only)

2nd reading
Friday 3rd February 2023 Lords Chamber

[The Parliamentary Under-Secretary of State, Department for Levelling Up, Housing & Communities (Baroness Scott of Bybrook) (Con)]

My Lords, I thank my noble friend Lord Udny-Lister and congratulate him on sponsoring this small but very important Bill in this House. I thank other noble Lords for—in most cases—their total support for the Bill, which the Government will be supporting. I also thank my honourable friend the Member for Christchurch, who is behind the bar, I believe. I am grateful for his work in the other place as chair of the All-Party Parliamentary Group on Park Homes. He has been a consistent champion of mobile home residents, and for that we are very grateful.

Mobile homes, also known as park homes, are a unique and important part of our housing sector. There are about 160,000 people in England living in mobile homes. Many, but not all, mobile home residents are older people on fixed incomes, for whom the rising cost of living is a real concern. The Government recognise this and provided support of up to £1,200 last year to those who needed it most. This Government are also committed to reforming the mobile homes sector to improve the lives of all residents and help responsible site owners.

We began these reforms with the introduction of the Mobile Homes Act 2013, important legislation which has made significant steps towards more effective and modern regulation of the sector. The 2013 Act strengthened the rights of residents and gave local authorities substantial enforcement powers, which I think answers some of the queries from the noble Lord opposite. In 2017, we carried out a review of the legislation and the evidence clearly showed that, overall, the Act had been effective and had made tangible improvements in the lives of many residents. However, there were issues that still needed further attention, including residents’ ongoing concerns about the impact on their finances from the continued use of RPI in annual pitch fee reviews. Having considered arguments and concerns about affordability for both residents and site owners, we concluded that the consumer prices index—the CPI—was the most appropriate index for annual pitch fee reviews. In our response to the review, we made a commitment to bring forward primary legislation, when parliamentary time allowed, to change RPI to the lower CPI. This is the Bill before us today.

The changes we are making will be an important contribution to easing pressures on residents. I am grateful to all noble Lords for their support and desire to get this Bill through as quickly as possible. This Bill, when enacted, will help residents with the cost of living pressures by changing the inflationary index used in pitch fee reviews from RPI to the lower CPI. With the incomes of many residents rising by CPI, the changes will mean that pitch fee increases and residents’ income will be subject to the same measure of inflation.

To conclude, mobile home residents may represent only less than 0.5% of the housing sector but some are among the most vulnerable in our society. There is more that can and must be done to address the problems they face; we fully understand why some residents would like to see additional measures included in the Bill. As was brought up by almost all noble Lords, there is more we can do to help these particular homeowners. I assure noble Lords that we will continue with the reforms to the sector that we have committed to introduce to improve the lives of residents. The priority for today is to ensure that this Private Member’s Bill, which is aimed at addressing the narrow but important issue of changing RPI to the lower CPI, goes through Committee swiftly, passing in time to make the much-needed changes to the lives of residents. The Government are proud to back this Bill and wish it a safe passage through its remaining stages.