It is not uncommon for farms to provide accommodation for its workers. This blog looks at some of the common pitfalls farmers may fall into when providing accommodation particularly when farm workers’ employment comes to an end.

What type of accommodation arrangements can be offered to farm workers?

There are several possibilities a farmer might have when providing accommodation for farm employees. The main two options will be to either create a tenancy or a service occupancy.

An assured shorthold tenancy (AST) involves an agreement that clearly outlines the tenant’s responsibility for the condition of the property and the responsibilities of the landlord during the agreed tenancy period.

Alternatively, an assured agricultural occupancy offers more secure, long term, accommodation that is let to farm workers as part of their employment.

A service occupancy can be also created as an option, but only where the accommodation is essential to the performance of the employee’s duties. In most cases for farm workers specific accommodation will not be considered essential.

How to ensure an AST agreement is in place for farm employees

The preference for most farmers will be to provide their employee with an AST. This is because it is a lot easier to terminate the tenancy when their employment ends. In order to do ensure an AST is in place, it is essential to serve the right forms on the employee before the tenancy commences. A ‘Form 9’ will need to be provided before the tenancy starts.

If the correct forms are not served at the commencement of the tenancy, then an assured agricultural occupancy may be created which may give the tenant greater security even if they have stopped working on the farm.

It is important to remember that for employers intending to grant farm workers an AST, they will still have to make sure that all the requirements of an AST are met, otherwise they may not be able to serve a Section 21 Notice if they intend to evict the tenant.

If the farm employee has an AST or an assured agricultural occupancy, the employer will be able to charge a market rent for the tenanted/occupied property.

What farm work meets the requirements for an assured agricultural occupancy?

If an AST has not been created for the farm worker, in order to benefit from an assured agricultural occupancy, the employee will need to be working in agriculture and meet the ‘agricultural worker condition’. These include normal farming agricultural activities such as arable farming, dairy farming, livestock or forestry but does not include employment in gamekeeping or horse training

What if a farm worker tenancy is already in place?

If the farm employee (or former employee) began residing in the accommodation prior to January 15, 1989 they may be protected by the Rent (Agriculture) Act 1976. If this is the case, they will have security of tenure and you will only be able to charge them a fair rent.

If the tenancy started after January 15, 1989 then they will be either an assured agricultural occupant or an AST.

What happens when the farm worker’s employment ends?

Providing an AST has been properly created it will be possible to end the tenancy quite quickly to tie in with the end of the worker’s employment. If there is a service occupancy, then the right to live in the accommodation will end at the same time as the employment ends, dependant on their contract of employment.

If your tenant is an assured agricultural occupant, or qualifies under the Rent (Agriculture) Act, then gaining possession is harder as the tenancy will not necessarily come to an end when the employment ends.

In this case, to remove the tenant, you will need to consider any grounds for possession, serve the correct notice and potentially apply to Court for an Order.

For Landowners: Transforming Your Property into a Source of Sustainable Income

Are you a landowner looking for innovative ways to monetise your property? Have you considered the burgeoning market of holiday lodges? In this detailed exploration, we’ll delve into why investing in luxury lodges can be a profitable and smart choice for landowners seeking to make the most out of their land.

The Appeal of Holiday Lodges

Holiday lodges, particularly in the luxury segment, are rapidly gaining popularity among travelers seeking unique, comfortable, and eco-friendly accommodation options. Our lodges, retailing between £80,000 to £300,000, are not just a symbol of luxury but also a beacon of sustainability, saving up to £2,500 annually on energy bills thanks to their high-spec design.

Higher Rental Income

Luxury lodges stand out in the rental market. With the ability to charge between £180 to £260 per night, depending on the location, they represent a significant income stream. Locations near key attractions like nature trails, beaches, or lakes, and those offering additional amenities like breakfast services and luxury toiletries, can command the higher end of this range, approximately £240 to £260 per night. With the average occupancy rate in the UK being 60% (219 days) you could gain £52,560 revenue in just the first year!

Turnkey Management Solutions

For landowners preoccupied with other commitments, companies like Canopy & Stars offer comprehensive management packages. They handle everything from bookings to guest arrivals and can even coordinate cleaning services post-departure. This hands-off approach allows you to earn passive income without the day-to-day hassles of property management.

Additional Reasons Why Luxury Lodges Are Profitable

1. Year-Round Attractiveness: Unlike traditional holiday accommodations, luxury lodges have an enduring appeal regardless of the season. Their robust build and high-spec insulation make them comfortable all year round, ensuring a steady stream of guests even during off-peak seasons.

2. Growing Market Demand: There is a rising trend in travelers seeking unique, personalised accommodation experiences over standard hotel stays. Luxury lodges cater to this market by offering exclusivity, privacy, and a closer connection to nature – factors that are increasingly valued by modern travelers.

Maximising Profits: How to Get the Most Out of Your Luxury Lodge Investment

Location Optimisation

Choosing the right location for your lodges is crucial. If your plot of land is close to busy roads or areas of noise pollution, then you may need to consider how to create relaxing spots for your guests. Clear access in and out are also required to ensure safety on site. If you haven’t purchase your land, proximity to tourist attractions, natural beauty spots, and easy access to local amenities can significantly boost your lodge’s appeal and, consequently, its rental income.

Marketing Strategies

Effective marketing can greatly enhance your lodge’s visibility and attractiveness. Utilise online platforms, social media, and partnerships with local businesses to create a compelling narrative around your lodge’s unique features and location. If you don’t have the time, simply hire someone to do the work for you!

Quality and Service

Maintaining high standards of quality and service is key to ensuring repeat business and positive reviews. Investing in quality furnishings, offering personalised services, and ensuring a consistently high level of customer care can set your lodge apart in a competitive market.

Sustainable Practices

A Booking.com report saw that 76% of travellers are looking for sustainable travel options and 43% of people are willing to pay extra for the pleasure of a sustainable stay. Implementing sustainable practices not only reduces operational costs but also appeals to environmentally conscious travelers. From eco-friendly toiletries to green initiatives of discounts should they cycle or take public transport to your location can add value to your lodge’s proposition.

Conclusion

Investing in luxury lodges is more than just creating a space for travelers; it’s about crafting unique experiences that resonate with the evolving preferences of modern tourists. For landowners, it’s an opportunity to diversify income, contribute to sustainable tourism, and be part of a growing market segment. With strategic planning, quality offerings, and effective management, luxury lodges can become a highly profitable venture on your land.

Downsizing to a smaller home can be a real opportunity for those looking to save money, and enjoy the equity freed up from their home sale.

Are you looking to buy a static caravan? Owning a caravan is the most accessible way of owning your own holiday home. A static caravan provides you with the opportunity to go on holiday as often as you want to; without the added stresses of excessive travel, passports and all the unexpected costs that go along with getting to unfamiliar locations.

A static caravan is yours and you have the freedom to holiday anytime you want. Static caravans are not just a home from home, but one with all the luxuries, facilities and attractions of a top-notch tailored holiday. It is the cheapest and easiest way to have your own perfectly personalised holiday. In this article we have compiled the top 35 questions to ask when buying a static caravan;

1. What Costs are Involved in Owning a Static Caravan?

The pitch fee will be the biggest cost involved in owning a static caravan. The costs can vary between £2,000 – £10,000, depending on what the parks have to offer in terms of location, facilities and your pitch position.

Some parks will provide complete access to their entertainment and facilities within your pitch fee. On top of this, there are other fees connected to general living costs, such as electricity, gas, water and insurance. There will also be business rates to pay. All the expenses that you are required to meet should be a part of your written agreement with the park providers.

2. Do Holiday Parks Close for Winter?

A lot of parks are open for the twelve months of the year. Each holiday park has a tailored opening schedule, so it is essential to check when each is open and closed. Some are open seasonally, for instance, ten months of the year. It is useful to have full knowledge of the individual park’s planned opening as it will help you to schedule your holidays around it. A post-season closure might be ideal if you didn’t need to use your park home in the winter. It can also help you account for potential income (should you be renting it out).

3. Can I Live in a Static Caravan?

No, you cannot live in a static caravan on a holiday park as your main residence. If you want to live in a static caravan, you will need to either look for a residential park or have your own land to put the home on.

4. How long can I keep my static caravan on the pitch?

Parks hold limits on how long you can have your static caravan on a pitch. This will vary, with some parks offering a nine-nine year-long pitch and others offering as short as fifteen years. Whatever the age limit on a particular pitch, this will be outlined in your licence agreement and usually cannot be negotiated. So, do ensure that you obtain this information in writing and that you are aware of the facts.

5. Are Holiday Parks child-friendly?

Once again, the answer is that some do and some don’t. That said, there are plenty of options for you if you do have children. There are parks that offer entertainment for them, parks and activities, as well as children’s clubs and even childcare services.

6. Can you take Dogs to Holiday Parks?

Yes, most holiday parks are now pet friendly. Holiday parks have adapted over the years to cater for our four-legged friends and realise they are part of the family. However, there are still a few that are not, so ask the question and check the contract before you purchase.

7. Can I Sell My Static Static Caravan?

Yes, you can sell your static caravan and there are different options for selling. You must check with the park operators before placing the static caravan for sale. This information on selling is detailed in your licence agreement.

Another reason why it is so vital to ensure that you have a written contract – without one the process of selling your static caravan on its pitch could be jeopardised and you would have to liaise with your park operator for guidance.

8. Do Static Caravans need Insurance?

Yes, static caravans do need insurance. in fact, it will probably be a condition of your licence. Public liability insurance is imperative for your static caravan. This should always be included in the wording of a policy. It is recommended to check with the holiday park operators regarding insurance responsibilities. They will have a wealth of experience on the subject, a sound knowledge of exactly what is required and will be able to point you in the right direction ensuring your policy is aligned to your requirements. Read further about Static Caravan Insurance.

9. Can I Rent or Sublet my Static Caravan?

This can be a great way for static caravan owner to subsidise their pitch fees and other costs when they buy a static caravan. A lot of parks allow this as an option. Do, however, be sure to seek independent advice when purchasing as a ‘buy to let’ and be savvy when receiving schemes such as ‘Return on Investment ‘ (ROI) and ‘guaranteed lets’.

10. Can I lend my Static Caravan to Friends and Family?

Yes, you can usually lend your static caravan to friends and family. This is one of the most prominent benefits of owning a static caravan. A static caravan may be shared and enjoyed amongst friends and family. However, check the contract before purchasing.

11. Does a Static Caravan Require Maintenance?

Yes, a static caravan does require maintenance. By carrying out simple maintenance, you will be able to increase the lifespan of your static caravan. Be sure to keep hold of the manufacturer’s handbook, it will contain all the detail and outline all aspects of maintenance and general care. The majority of manufacturers do now offer extended warranties but know that these don’t tend to cover wear and tear.

The manufacture of static caravans is to a high standard and the newer the static caravan, the less maintenance they should require.

12. Can you get a Static Caravan on Finance?

Yes, finance is available for static caravan finance. This is subject to the usual checks and conditions. A holiday park will usually have an existing relationship with a finance company that they will offer to you, by way of assisting you with spreading the cost.

Do be aware, though, that there can be a high-interest rate within these schemes. You may want to seek independent advice before signing any finance agreement and agreeing to buy a static caravan. Banks will also loan on the purchase of a static caravan.

13. Is it possible to place a Deposit on a Static Caravan?

As with many things, this entirely depends on the individual park operators. Some parks will allow a deposit service on static caravans, holiday homes or pitches. Whilst others will ask for payment in full.

14. What is the minimum deposit amount?

Again, this will vary depending on the individual holiday park. But as a ballpark, you are likely to need a 25% deposit to reserve a holiday home.

15. Do Static Caravans need a TV Licence?

No, you don’t need a separate TV license for your static caravan If you already have a registered TV license to any address in the UK.

16. Does the Holiday Park have its own entertainment and sports facilities?

This differs from park to park. Many have an array of onsite activities and facilities. Some parks offer these for free. Others will sell passes to access their entertainment offer, these costs vary so it is valuable to check the park’s pricing. It is well worth finding out if these facilities are open year-round, or seasonally, as well as when they close day-to-day.

17. What Entertainment Facilities or Activities are close by?

Sometimes, part of the joy of the holiday park is that it is close to local attractions. Often parks have been developed in particular locations because they are a destination point for certain activities. Many parks hit the perfect balance between locality and in-site facilities.

18. How Much are the Site’s Fees?

Site fees will vary from park to park and are often dependent on the specific location. You can expect to pay higher site fees if the park is in a popular holiday location as opposed to a quiet rural location.

19. How often do Site Fees Increase?

You can access the history of how specific site fees increase, how frequently they do so and to what value. This can be really useful in your effective budgeting

20. Can I Pay my Site Fees in Instalments?

This depends on the individual park or park group. If you’re worried about paying the site fee in a lump sum in some cases you may be able to pay site fees in a series of instalments rather than in one lump sum. Some parks offer systems, where you can pay quarterly whilst others, maybe half-yearly or yearly.

21. How is Gas and Electricity paid for in a static caravan?

This differs between parks. On some you will be getting your gas from a bottle that you pay as you use it, others will have a mains gas supply that is incorporated into your annual charges. Generally speaking, your pitch will have its own electricity metre, which will also be part of your annual payments. It is always good to check the frequency of these payments and how you are expected to pay them with your park provider so that they can be included in your budgeting.

22. Can I Expect there to be Internet Access on the Park?

If internet access is a required part of your holiday experience then you’ll be happy to know that many parks have either Wi-Fi access or that a dongle can be used in that area. Obviously, information is readily available on what the best service provider is for that particular area.

23. Do Pitches come with a Parking Space?

Yes, most pitches will come with a designated parking space. But should you need extra parking for any visitors or people you are holidaying with, then you will need to check with your holiday park.

24. Are there Shops on the Caravan Park Site or Nearby?

The vast majority of holiday caravan parks will have an on-site shop, that is easy to access. That said, these shops are more often than not somewhat more expensive than your average supermarket. They are very handy if there is a shortage of shops in the local area. You can search any supermarkets in the vicinity, and some do offer delivery to parks and sometimes individual static caravans.

25. What Guarantee can I expect when Buying a Static Caravan?

In general, the guarantee usually lasts between one and three years, but some even have a five-year guarantee. All the information of the warranty can be found in the Manufacturers’ Guide upon purchase of your static caravan.

26. Does the Park Operator have Staff available 24/7?

Caravan holiday parks have intricate staff bodies that provide the smoothest possible experience. But it is helpful to know what those staffing arrangements are ahead of your purchase, to help you to be prepared for any emergencies that may occur.

27. What Security is in place for when the Caravan Park is Closed?

Should you be purchasing a static caravan on a park only opening seasonally, it will be imperative to know that your property is safe and secure outside of that season, when you are leaving it behind. All caravan parks will have the staffing to cover this securely and ensure that your holiday caravan is safe. You can always ask about what this entails to put your mind at rest.

28. When is the Best Time to Buy A Static Caravan?

There are no concrete factors that combine to make the best time to buy a static caravan, other than your circumstances and when you are ready. Once you have gathered all the information that matters to you, had all of your questions answered and firmly decided that a static caravan is everything you had hoped it would be then this is the right time to buy.

There can be post-season deals to be had when buying a new static caravan. However, the best caravan parks always have highly sought after plots, so there is little difference. If you have engaged the services of a caravan dealer, you can and should always ask if there are any discounts: you have nothing to lose.

29. Do you Pay Council Tax on a Static Caravan?

No, you do not pay council tax on static caravans. Council tax is specifically reserved for the main residence. When you buy a static caravan, it should be intended for holiday use only.

30. Do you Pay Business Rates on a Static Caravan?

It is very likely that you will pay a fee that contributes to the holiday park’s business rates. See this as a council tax alternative.

31. Can I have decking on my Static Caravan?

Although a static caravan is individually owned, whether decking is allowed is up to the park operator. Before decking is added to a static caravan

Decking is an investment into your lifestyle and maybe part of your holidaying needs. Therefore, you want it to be idyllic and up to your tastes and standards. When you buy your static caravan, it may already have the decking included, or if new, there may be an additional cost for the decking.

32. Do I Need to pay for Siting and Connection of the Static Caravan?

Some parks offer siting and connection as part of your licence agreement. However, some parks may charge an extra fee for this service. Many parks will include siting and connection as part of your licence agreement. That said, there can sometimes be an additional fee for this service.

33. How do I arrange to get my Static Caravan Sited?

Your static caravan will be sited by the park operator or supplier. This will be executed on your behalf, but the park operator should consult with you through the process. If you are moving your holiday home from another park, additional siting and connection costs may incur.

34. Are there any Park Rules?

Different parks have different rules and regulations but consistently tend to include noise regulations, opening times and how they operate their entry and exit registration. See our article on the differences between a holiday park and a residential park.

35. Should I Buy a New Static Caravan?

There are pros and cons to buying a new static caravan. For an older static caravan, the upfront costs may be less, but you can expect to pay more in the long run for maintenance. For example, a second-hand caravan may have ongoing maintenance issues, all of which will go on to derive extra costs. If you are buying to let, buying a new static caravan will be significantly easier to manage as a landlord and work out cheaper in the long run.

When you make the decision to buy a static caravan, it’s an exciting time and one you’ll likely have budgeted or saved up for. In addition to the cost of buying a static caravan – whether brand new or second hand – you must also consider additional fees that come into play so you know how much it will truly cost.

What other costs are there to buying a static caravan?

It is fair to say the bulk of the caravan costs are at the front end; buying the unit, moving the unit and setting it up. Once in place, they are very cheap accommodation and require little upkeep.

Front end costs

Planning applications

The cost of any relevant planning application needs to be considered. Whilst pretty much anyone can position a static caravan on their property, depending on how it is to be used will dictate what planning permission you may need. Certainly, if you intend to live in the caravan, we highly recommend you apply for a Certificate of Lawful Development.

Transportation

The cost of transporting your static caravan to you will vary depending on the distance it will have to travel. This typically includes preparing the model for transit and the use of a lorry and escort vehicle, as well as the staff required.  The cost depends on distances and complexity of access and also whether the home is a single unit or twin as this will require 2 of everything and can easily be £1500 – £2500 + VAT.

Lifting into the space

Will it fit? The more complex the access, the higher the cost there may be to receive your caravan. Certainly, if it cannot simply be rolled in on its wheels the cost will jump as a crane will be required to lift it into position. Caravans are very large and heavy items, so to lift them by crane can easily exceed £2500 + VAT.  If you have concerns about access to your property will highly recommend contacting us to organise a site survey to ascertain whether what you are looking to buy will fit.

Caravan siting

The cost of siting a caravan is the price of moving it from where the lorry can unload it to exactly where you would like it (usually using a custom modified 4X4). Once in position the caravan is raised off the ground on axel stands and concrete blocks and checked to be level.

Commissioning

Once level, the static must be connected. This requires:

• A plumber to connect up the fresh and waste water
• A gas registered engineer to test and certify the boiler and any other gas appliances
• An registered electrician to connect up the power.

As the caravan is in effect a small house, it can draw a significant amount of current and needs to be hard wired into a suitable consumer unit.

It is also essential you check and install pipe insulation and to make sure they are high quality – don’t skimp as the water pipes are exposed under the home and are very prone to freezing during the winter. In the event of frozen pipes, the best case scenario is that you won’t be able to use the shower or toilet. In the worst case scenario they will burst if they’re not insulated and the water can damage the flooring.

Ongoing costs

Pitch fees and service charges

If you are located on a caravan park, you will have to factor in your monthly pitch fees and service charges.

Gas checks

It is strongly recommended that the gas system is checked every year by a certified engineer. If you look after the caravan and deal with any small maintenance items when they come up, costs are very low.

Utilities

You will have the cost of your utilities just like any home and for a caravan gas will probably be the biggest expenditure. If you plan to have the caravan for a long time, treat yourself to a bulk LPG gas tank if you’re not connected to mains gas. These can hold 100-1000 litres and are filled up by a lorry. They’re much more cost effective and convenient than having to trek down to a Calor Gas dealer with heavy metal bottles every few weeks.

Boiler maintenance

If you’re lucky enough to be on mains gas, you will most likely need to have the boiler adapted to burn natural gas, as most caravan boilers are set up to burn LPG or bottled gas.

Rust protection

If you’re near the sea, unless you have opted for a chassis that is galvanised, rust will set in unless you paint and treat the metal chassis every year or so. Skirting in the caravan also helps keep the front out and salty sea air away from the chassis, but this is an additional cost.

Firstly, we need to look at the difference between a residential home, which is usually a park home but can be a lodge and a holiday home. Static caravans and lodges are usually holiday homes.

If you need more advice please contact us on 08002461206 or click here to email us direct.