VAT reduced to 5% on campsite fees

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  • EasyT
    EasyT Forum Participant Posts: 16,194
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    edited July 2020 #92

    I can confirm that the Club had a system in place to deal with this, quickly and efficiently.

    Not my experience entirely. I was told that on the screen the warden uses at booking in that there was a marker against those to get a refund. 

    That did not appear to be the case. I forgot about any refunds initially, the second site that we visited that year was North York Moors. After setting up and getting a brew I checked and I had not received a refund. I was not too bothered but went to the office, claimed my refund that the warden seemed to find complicated to work out, I told him that he was wrong and the refund was less. When I got the refund I put into a charity Box. Same thing happened on Trewethet site in as much as I forgot to mention it and again went back, claimed refund and put it into charity box.

    There was another site but I can't recall which where, as there was not much queuing space I asked OH to book us in so that as soon as the car in front pulled off I could move forwards. I usually do this anyway but then go in myself unless there is plenty of space. When I got set up I checked and refund should have been given. I asked Fliss if she had mentioned when we actually booked, She said no but the lady had said something that she didn't catch. I went back claimed the refund and put it into the charity box yet again

  • Unknown
    Unknown Forum Participant
    edited July 2020 #93
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  • Jamsdad
    Jamsdad Forum Participant Posts: 275
    edited July 2020 #94

    Sorry to disappoint people but the general consensus in the travel and tourism industry  is that  this reduction in VAT is to help strugglling organisations not to give a fee reduction to customers.

  • Tinwheeler
    Tinwheeler Forum Participant Posts: 23,142 ✭✭✭
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    edited July 2020 #95

    You don’t disappoint all of us as we've been saying the idea is to help businesses by increasing footfall due to reduced prices. It sure isn’t aimed at giving people cheap holidays 😀

    See my screenshot on pg1, the Chancellor wants to see businesses "bustling again".

  • brue
    brue Forum Participant Posts: 21,176 ✭✭✭✭✭
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    edited July 2020 #96

    And accountancy firms are advising that the vat reduction is passed on to customers due to the current situation. It's temporary but will at least cover the remaining seasonal activities.

  • EasyT
    EasyT Forum Participant Posts: 16,194
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    edited July 2020 #97

    I think so also David. If I had this incentive my 120+ nights on various sites, including CMC would not go up at all. I think that most who have put money into caravans, tow cars and motorhomes etc already use them as much as possible.

    Some will also be wanting to get out and about anyway. We retired folk must have funds building up without probably (in my case) 12 weeks on 16 sites not taken, no cafes, no occasional lunches, no car fuel, no parking fees probably about £4,000 saved on these. I did tell two Scottish sites to keep my £25 deposits and not to worry about it so maybe only £3,950 saved. laughing

    Others, as in our case, are not contemplating going away until after August and therefore it would not induce us to use sites at present. 

    There will be some thrown out of work that may be strapped for money but such a saving is unlikely to tempt them if money is tight. 

    In my view a badly targeted relief if applied to the customer that will do little to aid site owners. 

    Will  our saved £4,000 this year be spent on more sites being used next year? Not really as for us the money is not a limiting factor.

  • KjellNN
    KjellNN Club Member Posts: 8,670 ✭✭✭
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    edited July 2020 #98

    As we have a self imposed average price per night we try to keep below, a reduction in VAT leading to a lower price could well persuade us to spend more nights on a CAMC site rather than using a CL, and/or spend a few more nights away this September/October.  We could easily add a week to our trip.

    We might also splash out on some food treats locally, or spend the money saved on something new for the house.....all things that would boost the economy.

    It sounds like the Club do mean to change their prices, but I would take a very dim view of them if they did not!

  • GTP
    GTP Club Member Posts: 536
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    edited July 2020 #99

    Just spoke on live chat, regarding another matter and after that was resolved..asked if i needed any further help.  I said only to ask if any policy decision had been made regarding the VAT reduction. The reply was similar to that already given bye Rowena.

    Personally I think the club will honour the reduction by passing on to  members...I may be wrong....and like KjeiNN I would take a very dim view if they did not.

     

  • ShaneB76
    ShaneB76 Forum Participant Posts: 8
    edited July 2020 #100

    How can I be disappointed? If the vat reduction is not passed on to us then it should have been a reduction in business tax not a v.a.t reduction. Unfortunately if a company is v.a.t registered it has to pass the savings on because it even says on the terms and conditions 20% v.a.t which can change and will be adjusted if rates should change. Lets face it the club will not take the hit anyway as the v.a.t is payable to the government anyway be it 5% or 20% the profit margin should be the same. I personally need the cut i am not in the financial position to afford to pay over the odds. We are a family of four and we purchased the caravan as a cheap way of getting away. Prices have steadily increased over the years and I personally will welcome the fact my holiday will be £70 cheaper as this will pay for other holiday extras. Yesterday I spoke to the club and they got back to me this morning and said they will be passing the cut on but they are not sure exactly how they will do it. They said it will either be by point of sale or they will adjust the amounts on the booking (I think point of sale is more likely from what they said to me). 

  • johnroots
    johnroots Forum Participant Posts: 8
    edited July 2020 #101

    I can see this whole debate from both sides.

    On the one hand the club has had 3 months plus with no sites open & now are having to put more resource into making and keeping sites safe.

    It as, after all the MEMBERS club, not some rich money grabbing conglomerate.

    On the other its a lot of discussion about 15p in the £.

    For me it wont make any difference on a bookings decision or whether to stay longer or more often.

    My view is that it is more of a credibility or reputational perception.

    If the club decide to reduce fees it will get broad approval, but with most sites being being busy anyway probably wont affect their site income.

    If they decide not to, I am sure the bookcase, twatter and instgrump hoards will persecute them into submission as seems to be the way with most things nowadays.

  • gizacuppatea
    gizacuppatea Forum Participant Posts: 131
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    edited July 2020 #102

    Its £385 savings for us,with our bookings....not really a few pence 🙂 . 
    lovely dog pic by the way 🙂

  • Cornersteady
    Cornersteady Club Member Posts: 14,427 ✭✭✭
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    edited July 2020 #103

    If the club decide to reduce fees it will get broad approval, but with most sites being being busy anyway probably wont affect their site income.

    Of course it won't reduce income, but the fact that sites are full makes no difference at all? The reduction to us will come from the part that the club passes on to the HMRC. 

  • Unknown
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    edited July 2020 #104
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  • Takethedogalong
    Takethedogalong Forum Participant Posts: 17,046 ✭✭✭
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    edited July 2020 #105

    It’s about more than this Club. It’s an attempt to entice folks back out and spending, getting more for your money without harming the income of desperate businesses. It’s aimed at those with money, who can still afford to take holidays, to tempt them into spending to keep other folks in work, who are possibly more worried about paying bills than taking a holiday. Likewise with the August meal deal. It’s better to lose the tax income, than to pay out benefits.

    The fly in the ointment is still public confidence. Those with the pennies to spare are to a large extent those most vulnerable and more likely to be cautious about venturing out. If this re opening of businesses generally goes well, people show care and patience, adhere to safety measures, than fingers crossed, it will raise confidence, and more folks will come out and spend. (A reliable track and trace system would have helped with this.) But if not, and cases rise, then the economic results are going to be catastrophic.

    We have been out together for first time today, masks on, adhering to guidance. Only three shops. But we have spent in a takeaway eatery, a tech store, and a big pet store. All experiences were positive, folks behaving, being patient, queuing. But we watched at other stores, and it doesn’t bode well quite frankly. 

  • Rufs
    Rufs Club Member Posts: 4,072 ✭✭✭✭✭
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    edited July 2020 #106

    Wow!!!, not likely to spend that amount on club sites in the next 6 months let alone make £385 saving.

    Bet all those with the forsight to buy vouchers are rubbing their hands, some folk seemed to be buying £1k, 20 pct save per booking now whatever comes their way through the reduction in Vat. Just hope they can all spend them before the deadline.

  • gizacuppatea
    gizacuppatea Forum Participant Posts: 131
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    edited July 2020 #107

    Lot of time to make up. 😊

    Was supposed to be spending my 50 th in Venice instead of lockdown ....but at least we saved the money and have now maxed out the voucher allowance , so we gotta get them vouchers spent ! 
    We dont work , due to medical reasons , but have bookings right through now , two weeks on site a week at home and so on . 
    My brother and his girlfriend will be joining us too , with my parents ,for a couple of breaks, so as we are paying for them , thats how  we got it to that figure .

    I spent ages working the maths out , got hubby to help ! 
    He is better at maths than i am 😆

  • gizacuppatea
    gizacuppatea Forum Participant Posts: 131
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    edited July 2020 #108

    Hi....sorry , only just seen your post , yeah as i wrote above , we dont work due to medical reasons , but we have several weeks booked that have been booked for a while . Thankfully we maxed out the voucher allowance too , but the reasons my figures are so high , is that we will be joined by my brother , his girlfriend and my parents for a couple of the breaks. 
    its quite a chunk of saving if it does get passed onto us. 
    hope you get some good hols this year too 😊

  • harryb
    harryb Forum Participant Posts: 1,536
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    edited July 2020 #109

    Don't know whether this has been mentioned, to many posts to trawl through to find out.

    I contacted Live Chat yesterday with the question of when the price change would take place. The answer was, "The prices will change  when the club get official news from the government."

    When she signed off she did say to bear with them as there were 200 prices to change.

    Read into that what you will

  • EmilysDad
    EmilysDad Forum Participant Posts: 8,973
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    edited July 2020 #110

    Each site must have 200 different prices. Looking at the club site I've recently booked the pitch price seems to change every other week. 🤔

  • gizacuppatea
    gizacuppatea Forum Participant Posts: 131
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    edited July 2020 #111

    I have a hard copy booklet of all the prices that i ordered from the club ....the prices do vary a fair bit as they shoot up every school holiday , and every season really. 
    I will be watching it and checking with ...not to sure what to finish the sentence off with 🧐

  • Compo
    Compo Forum Participant Posts: 324
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    edited July 2020 #112

    Whether you are using vouchers or paying by debit/credit card for your bookings over the next 6 months makes no difference. The change in the rate of vat will affect the price of the booking in exactly the same way. I accept that the purchase of the vouchers was a good investment ( getting a 20% return these days has to be good). I had the foresight to invest £2000 in the vouchers, and luckily I bought them before they changed the expiry date on them.  

  • brue
    brue Forum Participant Posts: 21,176 ✭✭✭✭✭
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    edited July 2020 #113

    The club has a lot of new VAT guidance to look at before the reduction starts on July 15th.

    LINK

    I hope it increases bookings in the limited season ahead and visitors will spend locally on their holidays to gain the vat reduction on meals out etc.

    Very tough times ahead, especially for failing industries and employment figures.

    Stay safe. smile

  • Takethedogalong
    Takethedogalong Forum Participant Posts: 17,046 ✭✭✭
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    edited July 2020 #114

    It’s going to be very very dire, but some businesses were failing before C19, for a variety of reasons. My hope is that what emerges out of this is a country that is more capable of providing, operating and owning the essential goods and services the UK needs to provide for its citizens. And paying those who do the work a decent salary with safe, motivational working environments. We certainly have the needs, we are going to have the workforce, but whether we have the underpinning ethos, mind set and leadership remains to be seen.

     

  • allanandjean
    allanandjean Forum Participant Posts: 2,401
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    edited July 2020 #115

    Interesting the views on why, and what, this cut is and who's benefit it is for.

    Having used what was called the flat rate' VAT scheme I did wonder if this was similar, where the vendor charges the VAT @ 20% but only pays the reduced amount, in this case 5%.

    A couple of days ago the local TV news gave time to visit Cornwall chief Malcolm Bell and unlike a lot of the various, and it seems often changed advice/guidance/rules he was quite clear;

    Visit Cornwall chief executive Malcolm Bell stressed that the VAT cut was to help businesses and not tourists.

    He said: "The VAT cut is to support the businesses. This is encouraging businesses to save - they (the government) will return the 15% to help them.


    "But what has already happened is people phoning and asking for 15% off their booking. This is a business support measure not for customers.

    "My message to customers is this is to help the businesses, not to reduce the cost of their holiday. It is only a temporary relaxation up to January."

  • brue
    brue Forum Participant Posts: 21,176 ✭✭✭✭✭
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    edited July 2020 #116

    No the VAT rate, in certain circumstances, has been temporarily reduced overall to 5% see my previous link.

    Some problems will arise over the cut off dates, deposits and forward payments. It takes a few days to go through the details and set up.

  • EasyT
    EasyT Forum Participant Posts: 16,194
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    edited July 2020 #117

     Visit Cornwall chief executive Malcolm Bell stressed that the VAT cut was to help businesses and not tourists.

    He said: "The VAT cut is to support the businesses. This is encouraging businesses to save - they (the government) will return the 15% to help them.

    I wish that Chancellor Sunak had said the same when he announced the measure

  • allanandjean
    allanandjean Forum Participant Posts: 2,401
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    edited July 2020 #118

    Hi Brue, As I said, Visit Cornwall were quite clear in what they said but maybe not quite so clear in their understanding!

    I did smile at the irony of the statements about how the reductions must be passed on when, not long ago, many were saying that we should not expect reductions, perhaps for closed facility blocks, as a way of supporting providers.

  • SteveL
    SteveL Club Member Posts: 12,303 ✭✭✭
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    edited July 2020 #119

    Given the rush for folk to get away on holidays and how boyant bookings seem to be, it does seem strange if the reduction is to be passed on to the consumer. Personally I can't see it resulting in a lot of extra bookings. It would seem much more effective in protecting jobs and businesses if it was kept by the vendor, to help make up for a lost 3 months.

  • Ne10
    Ne10 Club Member Posts: 38 ✭✭
    edited July 2020 #120

    Unless I’ve missed it, what no one seems to have picked up is that the 5% vat rate applies only to caravans, not motorhomes.  Juggle with that!

  • brue
    brue Forum Participant Posts: 21,176 ✭✭✭✭✭
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    edited July 2020 #121

    I think you have missed it! wink