Debate Seeking the Assembly’s Agreement to Introduce a Member-proposed Bill on Park Homes (Peter Black) (Peter Black a Democratiaid Rhyddfrydol Gorllewin De Cymru)

Debate Seeking the Assembly’s Agreement to Introduce a Member-proposed Bill on Park Homes (Peter Black)

2012 Chwefror 1 2:30 PM
Gan Peter Black

I start by acknowledging the work of Kirsty Williams, other Assembly Members and Consumer Focus Wales in bringing to the forefront, over a number of years, many of the issues that have led to this legislative bid. They have been assisted in this endeavour by the determination and perseverance of park home residents across Wales who have fought for justice and for protection by the law, which is enjoyed by others but not by themselves. Some of those residents are here today to see for themselves the start of a process that will hopefully deliver the changes that are needed, while demonstrating how devolution and the Welsh Assembly can address specific issues such as this and deliver Wales-only solutions.

Park homes are timber-framed bungalows built in residential parks and used by their owners all year around as their primary residence. There are approximately 100 residential park home sites in Wales, with around 5,500 homes housing about 10,000 people. Park homes tend to be largely retirement properties and a popular choice for older people wishing to downsize. However, this means that many people living in park homes are particularly vulnerable, not only because of their age, but because of their inability to effectively represent themselves out of fear and a lack of confidence. Difficulties are caused because part-time residents own their homes while a site operator owns the land. Site operators can withhold consent to park home residents reselling their homes, although this consent should not be unreasonably withheld. Some residents have reported sale blocking by site operators, which causes great financial loss to the park home owner and an easy profit for some rogue site operators. There is also evidence of severe fuel poverty, problems with the supply of electricity, gas and water, and allegations of harassment and intimidation in addition to numerous other issues.

In the course of an extensive research exercise covering England and Wales, Consumer Focus has identified a number of common complaints. I have already mentioned sale blocking and low-level harassment, but there is also damage to personal property, increases in pitch fees to an unacceptable level, resale of electricity through third parties, poor maintenance of sites and charging more than the legally permitted commission rate on sales.

The purpose of this proposed Bill is to regulate more fairly the process by which residential caravans and mobile homes are managed and sold in Wales. The intention is that the Bill will ensure that negotiations between site owners and park home owners are independently monitored and that there will be a system of arbitration for owners who have cause for concern about the process. I also wish to establish a requirement that site owners must pass a fit-and-proper-person test as part of the licensing system.

I think it is worth saying at this point that the majority of park home sites are run well and legally. However, when they are not, there is little recourse available to residents to settle matters amicably and inexpensively. The law needs to be reformed to give fair and equal rights to these park home owners. In 2011, a survey of more than 800 residents' associations on residential park home sites in England, Wales, Scotland and Northern Ireland-around 40% of the total number of such sites in the UK-by the park home owners' JUSTICE campaign revealed that basic site maintenance was either not carried out or was substandard on 37% of sites. Some 26% of respondents said that they believed that their site owners engaged in sale blocking and, perhaps most worrying of all, 31% said that there had been reports of bullying and harassment of residents on their site by the site owner.

Of the 803 park home sites on 392 parks surveyed by the park home owners' JUSTICE campaign, 48% said that they believed they were living under the regime of an unscrupulous park owner. There are some specific examples. In one case, a gentleman who had retired to live in a mid Wales park home site complained about an increase in pitch fees, just months after fees on the site had already gone up. The owner spat in his face. The second increase meant fees were 20% higher on the site than they had been 12 months earlier. Similar tales can be found on park home sites all around Wales.

On one site in north Wales, a water leak was not attended to for more than 10 months by the park owner, despite concerns being raised by the residents' association. Again in north Wales, one park site owner charged an additional 15% for what he termed 'VAT' on the resale of electricity to residents. This was overturned and a rebate granted when he was confronted by the residents' association. However, when a site owner chooses to ignore a residents' association, problems like this can turn into lengthy legal battles between residents and site owners as the current system for arbitration is simply not fit for purpose.

The reality is that if you own and live in a park home you simply do not have the same rights as other homeowners. There have been cases where residents have been harassed and threatened until they feel they must leave their homes, at which point they are faced by a new problem: the right of the site owner to veto the sale of their home. Under the 1983 Act, a park home owner can sell only if they find a buyer

'approved of by the [site] owner, whose approval must not be unreasonably withheld'.

There are cases where this rule has been actively abused, with site owners unreasonably blocking sales until the resident, in desperation, decides to sell to the site owner at a massively reduced rate. In England, there have been cases where homes have been set on fire by unscrupulous site owners in order to drive out existing residents, and yet, despite convictions for arson, these people are allowed to continue running park home sites in other parts of the UK. There is no fit-and-proper-person test for a site owner. What about the legal avenues open to both site owners and residents who are in dispute? Licensing and planning issues relating to park home sites are dealt with by local authorities. Other legal issues are primarily dealt with by the county courts, which is a highly intimidating and expensive process.

2.45 p.m.

The success of the residential tribunal service in England has been limited, with some site owners refusing to acknowledge rulings that go against them. To enforce rulings, residents have to go back to court. Many disputes do not fall under the jurisdiction of the tribunals, rendering the service ineffective. This is a stressful and expensive process and one that many people living in park homes cannot face. The system as it currently stands is failing these residents.

My Bill will seek to protect park owners by bringing in fair, easy-to-use processes and clear rights for residents and site owners. We need to beef up the licensing of these sites so that local councils have similar powers of enforcement as they do with houses in multiple occupation and where fines for breaching licensing conditions are far more punitive than at present: the fine for the first breach of a licensing condition is £100, and for the second breach it is £200, as an example of how small the cost for a site owner would be compared to the profits that are available to him.

Under the Caravan Sites and Control of Development Act 1960, a local authority has the discretionary power to revoke a site licence by applying to the magistrates' court. However, it can only do so on a third or a subsequent conviction for breach of a licence condition. Many local councils are reluctant to get involved in investigating cases. This could be because there is no duty on them to investigate or prosecute when wrongdoing is found, and because local authorities lack the resources to take action or do not wish to get involved because there is no suitable housing provision for the park home residents to go to if they were to lose their homes. The police are also reluctant to involve themselves in what they consider to be a civil law issue.

I cannot pretend that legislation would right all these wrongs, but we can redress the balance. We can give greater rights to park home owners and ensure that, through a robust licensing system, they have the support of the proper authorities in enforcing them. This is just the start of a long journey, but it is one that I hope will have a worthwhile destination at the end of it. We have an opportunity once more to lead the way in Wales in legislating on this issue. I respectfully ask that you give me the green light to take this Member-proposed Bill to the next stage.

Peter Black a Democratiaid Rhyddfrydol Gorllewin De Cymru