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Touring Caravans

General

The National Caravan Council estimate that there are over 4,000 caravan parks in the UK with 498,000 touring caravans, 112,000 motorhomes and 335,000 caravan holiday homes in usewith the value of caravan holidays plus production in the UK now estimated to be over £3 billion.

In Scotland touring caravans account for 1.2 million holiday nights (4% of total). There are 422 caravan sites with touring pitches in Scotland.

A small touring caravan site can be a useful way of adding to farm income over the summer months, without incurring any large capital costs or loss of agricultural production. Large caravan sites require substantial capital investment, active marketing and a considerable amount of management time.

These larger sites will provide toilet blocks, washing facilities, shop, reception, possibly a bar and cafe, play areas, etc Sites are divided by size into three main types:-

  • Type 1:
    unlicensed and non-certificated - can accommodate up to 3 caravans at any time if the site forms part a holding of at least 2 hectares, and the land is not used as a caravan site for more than 28 days in any year.
  • Type 2:
    unlicensed and certificated - can accommodate up to 5 club members' caravans, or any number of caravans provided the site is occupied and supervised by a certified organisation.
  • Type 3:
    licensed and not certificated - requires planning permission and will be rated. A licence from the Local Authority Health Department is required.

Please remember that special consideration must be given to the VAT aspects of diversification as the new activity may not be treated the same as the existing farm business from a VAT standpoint.

Market

The number of caravan nights spent in Scotland is not increasing. Therefore, new entrants seeking customers will do well to attempt to make their site better than, or at least different to, existing sites.

Additional on-site attractions or co-operation with nearby tourist enterprises may reap dividends. Advertising must be planned well in advance, and targeting may help (eg golfers if near St Andrews, etc). Any possibility of extending the season should be capitalised upon.

Caravan parks generally attract 2 types of customer: families with children and older couples. Most caravaners want a certain degree of comfort and expect a high standard of facilities in an attractive location.

Location may determine the type of customer - near rivers, lochs or woodlands may attract a wide array of nature and sports lovers as opposed to a costal site.

For more information on the caravan accommodation market see Profiles of Holidaymakers in the Highlands & Islands staying in Touring Caravans/Motor Homes and Tents (Highlands and Islands Enterprise).

Physical Requirements

Well-drained, flat site, screened either by trees or topography. Maximum density of 75 units/campable ha (Caravan Club recommend no more than 45 units/ha).

On Type 3 sites, there are a number of regulations concerning spacing, roads, lighting, etc. Must meet standards laid down by the `Caravan Sites and Control of Development Act 1960'. Good road access onto a tourist route.

Costs

The following costing information is general and current prices should be sought for budgeting purposes.

Capital Costs

Type 1 and Type 2 sites: minimal capital costs - only piped drinking water and disposal facilities for waste and chemical toilets required, eg £100 per pitch.

Type 3 sites: requirements include ablution blocks, electricity, hot and cold water. Costs estimated at £3,000 - £4,000 per pitch.

Running Costs

Type 1 and Type 2 sites - minimal costs - eg £70/pitch/year. Type 3 site - estimated at £150 - £250/pitch/year (excluding capital charges and depreciation).

VisitScotland's Quality Assurance Scheme

Annual Park Grading Fees

Fee (inc. VAT)

Under 25

£110

25-50

£126

51-100

£142.5

101-150

£172

151-200

£204

201-250

£235.50

>250

£338

Returns

The season normally runs from April to October (to see average Camping and Caravan Occuplancy statistics 2004).

In Scotland, average occupancy rates are approx. 35% over a 7-month season Type 1 and Type 2 sites: £4 - £8/pitch/night Type 3 site: £5 - £12.50/pitch/night.

The average total daily spend by caravanners is between £12 - £30 per head per day (HIE's market report).

Constraints

Planning Permission (more likely to be awarded if natural surroundings are considered and not laid out in a 'grid-iron' pattern) Caravan Sites and Control of development Act 1960 Caravan Sites Act 1968 Returns unpredictable, subject to weather, local events, etc.

Stringent regulations on Type 3 sites. Static market, plenty of competition.

Training

Scottish Tourism Industry Training Training to Train Giving staff the skills to provide training effectively.

Excellence through People Encouraging best employment practices in hospitality. Welcome Host Improving the quality and delivery of the tourism product. Scotland's Best A quality service programme aimed at staff, supervisors and management.

Developing Management Skills Specifically aimed at developing skills in management in the tourism industry.

Caravan Industry Training Organisation promote training for all sectors of the industry. this includes: Legislative - health & safety, employment law, consumer law, European law, first aid, water regulations Management - park, customer service, business planning, Investors in People, NVQS.

Grants

Through the Scottish Rural Development Programme (SRDP) 2007-2013 funding is now available for rural businesses throughout Scotland for diversification and renewable energy projects. Specifically, support is delivered through Rural Development Contracts – Rural Priorities which was launched in April 2008. For further information about what support is available see the Section on Rural Development Contracts – Rural Priorities.

Further Information

Publications

Guidance Notes for Serviced Accommodation Operators on Quality Grading is available on the Scotexchange website (select the type of accommodation you provide). Caravan Industry Training Organisation have a number of publications including:

The Parks Manual and Park Operations Caravan Business - the online version of the National Caravan Council's member's journal Caravan Club Magazine Starting a Caravan Business - A Development Guide. English Tourist Board.

Caravan Industry and Park Operator Caravan Industry Supplies and Service Directory

For a list of Publications relating to Rural Tourism see here

Contact

Mr Scott Murray
SAC (Scottish Agricultural College) Work SAC Consulting, Bush Estate, Penicuik,
Edinburgh
EH26 0PH

TelWork 0131 535 3430
Fax 0131 535 3431

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