Residents of Leisure Park Homes

Sarah Jones Excerpts

Wednesday 27th February 2019 Westminster Hall

[Sarah Jones (Croydon Central) (Lab)]

It is a pleasure to serve under your chairmanship, Mr Austin, and to speak in this debate. The hon. Member for Faversham and Mid Kent (Helen Whately) made a convincing case for the need for protection of leisure park homes. She also painted a lovely picture of her constituency. Is it any wonder that people want to go to the rolling hills of the north downs and retire there? What a terrible thing it is when they find that it is not quite what they expected.

We heard tales of pitch fees increasing, and about the culture of fear and mis-selling. The right hon. Member for New Forest West (Sir Desmond Swayne) rightly asked who some of the people running these homes are, and what can be done about the problems. The hon. Member for Strangford (Jim Shannon) asked why nothing had been done, when he has been raising these issues for some years. The hon. Member for Chichester (Gillian Keegan) talked about people feeling almost “stateless”, which is a strong and apt word.

The hon. Member for Waveney (Peter Aldous) talked about his role with regard to previous legislation, and made a really important point about the need to protect the tourism industry. Anything that we do must not damage that. The hon. Member for Wells (James Heappey) told us that his area is second only to Skegness in its concentration of caravans, and we must listen to what he has to say.

[Sir Henry Bellingham (North West Norfolk) (Con)]

I am very sorry that I was not here earlier; there were distractions in the House. Does the hon. Lady agree that it is incredibly important to draw a distinction between sites that are badly run and badly managed, where bad practices are endemic, and really well-run sites that have had zero complaints over many years? For example, there is Pinewoods in my constituency, near Wells-next-the-Sea, Searles park in Hunstanton, and McDonnell caravans park. We have a number of really well-run sites with no history of complaints whatever. We need to find a way of ensuring that we drill down and protect those people who need protection, while not damaging those well-run sites.

--- Later in debate ---

[Sarah Jones]

I agree with that completely. The poor form tarnishes the whole industry, and people who are doing things well do not, on the whole, object to changes to regulation or legislation because they are already doing what they should be. The hon. Gentleman makes a good point.

As we have heard, there are lots of problems that we need to try to fix. Residents in leisure park homes are not afforded the limited protections of mobile home owners on sites with residential planning permission. They do not have the special protections under the Mobile Homes Act 2013, as we discussed. In the Opposition’s view, it is right to call for protections to be extended to residents living permanently in leisure park homes. We should also ask why residents are being sold permanent homes in leisure parks that do not have residential planning permission. It is unclear how widespread that practice is. Perhaps the Minister can tell us her sense of the scale of the problem, and what the Government consider the issues to be.

The hon. Member for Faversham and Mid Kent talked about the protections afforded to residents of park homes through the 2013 Act, but it is worth emphasising that abuses are still happening across all park homes despite those changes in law. There is a need for wider reform. Organisations such as the Park Home Owners Justice Campaign and the Park Homes Policy Forum have worked for years to expose the exploitation of park home residents, which is still ongoing. Park homes have been described to me as

“like leasehold bullying, but with criminal thuggery thrown in.”

We know that 62% of leasehold home owners feel as if they were mis-sold them; I would not be surprised if a similar, or higher, number of park homes residents felt the same way. Just as there are leaseholds with onerous ground rents, park home owners can be charged extortionate pitch fees that can increase rapidly each year. As with leaseholds, hidden clauses in park homes contracts can cause significant hardship down the line; residents have limited routes of redress when things go wrong, and any enforcement is often affected by a lack of transparency and opaque structures.

However, unlike the situation with most leaseholds, park home owners also report, as we have heard, experiencing or being threatened with violence and other illegal activity. We saw that most prominently in the disgraceful treatment of Sonia McColl, a leading campaigner for park homes reform. After campaigning for action on rogue park owners, Sonia had to sell her park home and move due to death threats. She then, astonishingly, had her entire home stolen while waiting for it to be delivered to her new site. She was made an OBE for services to society, but I think society has let her down. I asked her what issues she would like to raise with the Minister; she wants to know, first, when the consumer prices index instead of the retail prices index will be used to calculate the increase in pitch fee, and secondly when independent research will be done on the 10% commission payable to site owners on the sale of residence properties. She will be happy to share the Minister’s response with the 30,000 residents on her database.

I want to give the Minister time to respond, so I will say only a little more. The Government have recognised the systemic problems with park homes, and have promised to legislate on areas such as pitch fee reviews, but they have not done so yet. They have been promising for some time to get a grip on the wider leasehold scandal, but there has been no primary legislation on it. Stronger laws are worthless if they are not enforced; I am sure that the Minister will talk about the duties of local authorities, but in their own recent analysis the Government admitted that the 2013 licensing and inspection powers are not being applied because of a lack of dedicated resource in councils. That is not really a surprise, given the billions of pounds of cuts made to local authorities under this Government.

I hope that the Minister will outline when her Department will introduce the legislation that was promised back in October, and will say how she will support councils that are too strapped for funds to enforce it. The Conservative party claims to be the party of home ownership, but here we are again, talking about homeowners being exploited, mis-selling, exploitative contract terms and excessive fees and commissions charged to residents who were told that they were buying a home, with all the rights and freedoms that that affords. This is the third time today that the Government have been challenged by a member of their own party about the treatment of homeowners on their watch. I look forward to hearing when they will act on their promises.