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Government increase VAT on Holiday Homes

In the 2012 budget, George Osborne dropped a bit of a bombshell on the static caravan and holiday home industry. Until now only a small proportion of a holiday home attracts VAT, mainly fixtures and fitting inside the home and not the structure itself. This year it all changes!

In October 2012, VAT at 20% will be payable on the whole unit. As you can imagine, this came as a bit of a shock to us all and has great bearing on the final cost to you as a holiday home owner. Before now the VAT element of your holiday home worked out at about 4% of the value of the unit (excluding transport and installation). Now you can imagine what it will do the price when you add an extra 16% to that! The holiday park industry has been hit fairly hard by the economic climate in the past few years and this was not something that was expected!

What does this mean in real terms?

Earlier in the year we had Pemberton Abingdon for sale for £38,573 (excluding pitch fees).*

The same model and spec, post October 2012 will cost £43,733

That’s a whopping £5,160 on top of the current price!

The only way to beat the increase is to be purchasing a holiday home before the increase. If you have been thinking about it for a while, this might be the nudge you need to go for it! If you have any questions then please do not hesitate to contact us by calling on 0131 478 2650, or click the button below to send us a message.

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Viewing trips

If you would like to visit one or more of our parks and available pitches, we are able arrange a viewing trip, so you can get a feel for the area and hopefully pick the emplacement that will give you many years of holidays and treasured memories.
We can arrange accommodation in the area you choose, show you around the holiday parks and surrounding areas, and when you purchase your new holiday home we will refund the cost of the accommodation. To get more information or to organise a viewing trip please contact us by calling on 0131 478 2650, or click the button below to send us a message.

[button link=”https://www.eurobasemobilehomes.com/contact/” color=”orange”]contact us[/button]
*price is an example, prices of the same model my vary with specifications

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