[2024] UKUT 375 (LC)

The occupation of pitches on a protected site is governed mainly by terms implied into agreements between occupiers and park owners by statute and found in Chapter 2 of Part 1 of Schedule 1 of the 1983 Act. The review of pitch fees is dealt with in paragraphs 16 to 20.

Paragraph 16 provides that the pitch fee may only be changed “(a) with the agreement of the occupier, or (b) if the appropriate judicial body, on the application of the owner or the occupier, considers it reasonable for the pitch fee to be changed and makes an order determining the amount of the new pitch fee."

The procedure for increasing a pitch fee is specified in paragraph 17 which provides for annual reviews from a review date which will either be specified in the written statement of terms or will be the anniversary of the commencement of the agreement (paragraphs 17(1) and 29). The owner must give notice of its proposed increase using a prescribed form at least 28 days before it is due to take effect. By paragraph 17(3), if the occupier agrees to the proposed new pitch fee it becomes payable as from the review date. The implied terms do not say how an occupier’s agreement is to be signified or recorded.

If the occupier does not agree to the proposed increase, either party may apply to the FTT for an order determining the amount of the new pitch fee.

Paragraphs 18, 19 and 20 provide instructions to the FTT on the factors which may be taken into account when conducting a review. The overarching consideration for the FTT is whether “it considers it reasonable for the pitch fee to be changed” (paragraph 16(b)). The factors to which it will have particular regard in determining the amount of the new pitch fee are set out in paragraph 18(1); these include changes in amenities or services which have not previously been taken into account.

Paragraph 20 introduces a presumption that the pitch fee will vary within a range set by the change in the retail prices index in the twelve months before the review date. In practice, especially in times of low inflation, the RPI increase has often been regarded as an entitlement, but the much higher price rises of recent years have highlighted the rebuttable nature of the presumption. The applicable index changed (in England) with effect from 2 July 2023, the day after the review date in these appeals, and is now the consumer prices index (CPI) . By paragraph 20(A1), the presumption of an index linked change applies “unless this would be unreasonable having regard to paragraph 18(1)”.

The application of the statutory presumption and the factors in paragraph 18(1) have been considered by the Tribunal in many cases (for examples see Re Sayer [2014] UKUT 283 (LC) and Wyldecrest Parks (Management) Ltd v Whitley [2024] UKUT 55 (LC)) and it is not necessary to undertake that exercise again for the purpose of this appeal.