rpi
π What is rpi? Meaning and definition
The Retail Prices Index (RPI) is a long-standing measure of inflation in the United Kingdom. In the context of UK tenancy law, particularly concerning park homes, RPI is frequently cited as the basis for calculating proposed increases in pitch fees. Site owners, referred to as Applicants in tribunal cases, may propose an increase in the monthly pitch fee for properties, stating that the increase is 'in line with the RPI published' for a specific period, such as February 2023.
When a site owner proposes an increase based on RPI, they are typically required to provide evidence of the RPI data used in their calculations to both the occupiers (Respondents) and the Tribunal. This allows the occupiers to understand the basis of the proposed increase and to raise any objections. The Tribunal may also consider whether RPI is the most appropriate measure of inflation, sometimes comparing it with CPI (Consumer Prices Index), and may require the Applicant to provide submissions and evidence if they contend that RPI is a better measure or if there are other considerations supporting the increase.
Occupiers have the right to object to a proposed RPI-based pitch fee increase. They can submit a statement detailing why they oppose the increase, including any 'weighty factors' that would make the increase unreasonable. The Tribunal will then review the application, the RPI data, and any objections or evidence provided by both parties to determine the new level of the pitch fee. The process involves directions for evidence submission and may include inspections of the site and hearings.
π Requirements
- The proposed pitch fee increase must be based on RPI data.
- The Applicant (site owner) must provide the RPI data used in calculations to occupiers and the Tribunal.
- The Applicant may need to provide submissions and evidence if contending RPI is a better measure of inflation than CPI.
- Occupiers must be given the opportunity to object to the proposed increase.
π Procedure
- The Applicant proposes an increase in pitch fees, often citing RPI as the basis, with a specific review date.
- The Applicant sends a statement of their case, including RPI data, to each relevant occupier.
- Occupiers complete and return a reply form, stating why they oppose the increase and providing evidence.
- The Applicant may apply to the Tribunal for a determination of the new pitch fee level.
- The Tribunal issues directions for evidence submission from both parties.
- The Tribunal may conduct an inspection of the site and hold a hearing to consider the evidence and objections.
π‘ Examples
- A park home site owner proposed to increase the monthly pitch fee from Β£159.66 to Β£181.22, stating this represented an RPI increase of 13.5% from the last review date.
- The Tribunal directed the site owners to send RPI/CPI data used in calculations to occupiers and to provide evidence if they argued RPI was a better measure of inflation than CPI.
- An Applicant sought an increase of the pitch fee for properties from Β£183.04 to Β£208.29, an increase of 13.8%, in line with the RPI published in February 2023.
- Occupiers objected to a proposed RPI-based pitch fee increase, requesting a hearing to present their reasons against it.
π Legal basis
- Mobile Homes Act 1983
β Frequently asked questions
What does RPI mean for my pitch fee?
RPI is a measure of inflation that site owners often use to calculate how much they want to increase your pitch fee. If your pitch fee is going up, the site owner might say it's 'in line with RPI'.
Do I have to agree to an RPI-based pitch fee increase?
No, you don't automatically have to agree. You have the right to object to a proposed increase, even if it's based on RPI, and can present your reasons to the Tribunal.
What evidence should the site owner provide if they use RPI?
The site owner should provide you and the Tribunal with the specific RPI data they used in their calculations for the proposed increase. They might also need to explain why they chose RPI over other inflation measures like CPI.
Can the Tribunal decide against an RPI increase?
Yes, the Tribunal will consider all evidence, including the RPI data and any objections you raise. They will determine if the proposed increase is reasonable, taking into account various factors, and may adjust the fee accordingly.
What is the difference between RPI and CPI in this context?
Both RPI and CPI are measures of inflation. The Tribunal may consider whether RPI is the most appropriate measure for your pitch fee increase, and the site owner might have to justify why they chose RPI over CPI for their calculations.
Where can I find help if I want to object to an RPI-based increase?
You can gather your evidence and submit your objections to the Tribunal as directed. For personalised advice and assistance with your specific case, you may wish to consult a qualified solicitor specialising in park home law.
