[2024] UKUT 180 (LC)

Fecha: 19-Jun-2024

The pitch fee and the procedure for review

The pitch fee and the procedure for review

10.

The statute sets out terms that are to be implied in all the agreements it regulates, one of which is that “The occupier shall … pay the pitch fee to the owner” (Schedule 1, Chapter 2, paragraph 21); the pitch fee is defined in paragraph 29 of Schedule 1, Chapter 2, as follows:

““pitch fee” means the amount which the occupier is required by the agreement to pay to the owner for the right to station the mobile home on the pitch and for use of the common areas of the protected site and their maintenance, but does not include amounts due in respect of gas, electricity, water and sewerage or other services, unless the agreement expressly provides that the pitch fee includes such amounts”

11.

Paragraph 16 of Schedule 1 to the 1983 Act says this:

“16.

The pitch fee can only be changed in accordance with paragraph 17, either—

(a)

with the agreement of the occupier, or

(b)

if the [FTT], 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.”

12.

So if an increase in the pitch fee is proposed by the site owner and the occupier does not agree to it, the pitch fee will not be changed unless the FTT so decides. Moreover, the site owner can only change the pitch fee by following the procedure set out in paragraph 17. The paragraph refers to the review date, which in the respondents’ agreements is 1 November each year, and makes provision for review either as at the review date or later if the site owner is too late to change the fee at the review date. The paragraph so far as relevant reads as follows

“ 17. (1) The pitch fee shall be reviewed annually as at the review date.

(2)

At least 28 clear days before the review date the owner shall serve on the occupier a written notice setting out his proposals in respect of the new pitch fee.

(2A) In the case of a protected site in England, a notice under subparagraph (2) which proposes an increase in the pitch fee is of no effect unless it is accompanied by a document which complies with paragraph 25A.

(3)

If the occupier agrees to the proposed new pitch fee, it shall be payable as from the review date.

(4)

If the occupier does not agree to the proposed new pitch fee—

(a)

the owner or (in the case of a protected site in England) the occupier] may apply to the [FTT] for an order under paragraph 16(b) determining the amount of the new pitch fee;

(b)

the occupier shall continue to pay the current pitch fee to the owner until such time as the new pitch fee is agreed by the occupier or an order determining the amount of the new pitch fee is made by the [FTT] under paragraph 16(b); and

(c)

the new pitch fee shall be payable as from the review date but the occupier shall not be treated as being in arrears until the 28^th day after the date on which the new pitch fee is agreed or, as the case may be, the 28^th day after the date of the [FTT] order determining the amount of the new pitch fee.

(5)

An application under sub-paragraph (4)(a) may be made at any time after the end of the period of 28 days beginning with the review date but, in the case of an application in relation to a protected site in England, no later than three months after the review date.

(6)

Sub-paragraphs (7) to (10) apply if the owner—

(a)

has not served the notice required by sub-paragraph (2) by the time by which it was required to be served, but

(b)

at any time thereafter serves on the occupier a written notice setting out his proposals in respect of a new pitch fee.

(6A) In the case of a protected site in England, a notice under subparagraph (6)(b) which proposes an increase in the pitch fee is of no effect unless it is accompanied by a document which complies with paragraph 25A.

(7)

If (at any time) the occupier agrees to the proposed pitch fee, it shall be payable as from the 28^th day after the date on which the owner serves the notice under sub-paragraph (6)(b).

(8)

If the occupier has not agreed to the proposed pitch fee—

(a)

the owner or (in the case of a protected site in England) the occupier may apply to the [FTT] for an order under paragraph 16(b) determining the amount of the new pitch fee;

(b)

(c)

if the [FTT] makes such an order, the new pitch fee shall be payable as from the 28 ^th day after the date on which the owner serves the notice under sub-paragraph (6)(b).

(9)

An application under sub-paragraph (8) may be made at any time after the end of the period of 56 days beginning with date on which the owner serves the notice under sub-paragraph (6)(b)… .

13.

To summarise, in order to raise the pitch fee the site owner must send to the occupier a pitch fee review notice (paragraph 17(2) or 17(6)(b)), and it must be “accompanied by a document which complies with paragraph 25A”. If the occupier agrees to the increase then it will take effect on the review date if the owner served the notice in time, or on the 28^th day after service otherwise, and there are provisions to ensure that the occupiers only have to pay the current fee until a determination is made by the FTT if the new fee is not agreed.