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Benny65

Motorhome Sales decline

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I know this is caravan chat, not motorhome chat, but it was on the local NE News this morning in a report from sunny Consett, that Elddis has seen a decline in MH sales due to the increase in road fund licence and have roped in their new MP to champion the case in the commons. It was reported that they have over 600 staff at present.

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All vehicle sales have declined over the last year - a number of reasons in addition to the equalisation of VED rates, ie dieselgate, political uncertainty, etc.

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The fact is that there in a decline in sales of both motor caravans and towed caravans.   Only the camper van market is appearing to maintain their sales figures. 

Edited by bessacarr425

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44 minutes ago, Benny65 said:

I know this is caravan chat, not motorhome chat, but it was on the local NE News this morning in a report from sunny Consett, that Elddis has seen a decline in MH sales due to the increase in road fund licence and have roped in their new MP to champion the case in the commons. It was reported that they have over 600 staff at present.

 

 

It was raised by a group of MPs a few weeks ago over the 700% increase in VED .

 

Motorhomes only do about 4000  miles or less a year .

Edited by CommanderDave

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24 minutes ago, CommanderDave said:

 

Motorhomes only do about 4000  miles or less a year .

 

So don't contribute very much in fuel duty !

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In addition, I think that many people cashed in pensions to buy motorhomes and now that has faded away.

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16 minutes ago, Black Grouse said:

 

So don't contribute very much in fuel duty !

 

Especially when a good lump of those miles will in lots of cases be on foreign, not UK roads.

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Is Elddis management looking for a reason "beyond their control" for a sales drop? What about the rest of the auto industry then? Don't they have  the same issue ? Its a level playing field. What steps has Elddis management taken to overcome their sales drop?  Why should the Tax Payer be sympathetic about it?

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47 minutes ago, Ern said:

Is Elddis management looking for a reason "beyond their control" for a sales drop? What about the rest of the auto industry then? Don't they have  the same issue ? Its a level playing field. What steps has Elddis management taken to overcome their sales drop?  Why should the Tax Payer be sympathetic about it?

Swift Group announced, a few weeks back, job losses and closure of one manufacturing site to match expected drop in sales. It's called planning!

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The drop reflects a drop in consumer confidence, but the increase in tax may have put off some buyers where the price is just over the £40,000 figure, given that there is lots of pressure on the government to reduce the tax, there could be quite a few people waiting to see what happens. I cannot see the tax would affect the higher priced models though as it becomes far smaller in percentage terms.

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The Swift plant they are closing is the one in Mexborough that Swift Group inherited when they 'rescued' Autocruise from receivership about a decade ago. It quickly became the specialist plant where Swift built their Autocruise and Mondial etc panel van conversions, which relatively recently morphed into a range known as Swift Select. Presumably with reduced demand Swift feel they can cope with PVC production at Cottingham.

 

Hymer UK (Elddis/Compass) only stepped into the 6m PVC market about two years ago but with aggressive pricing appear to have sold a lot of vans in that time, judging by what I've seen on camp sites. That may well have hit Swift's market share hard.

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4 hours ago, Black Grouse said:

 

So don't contribute very much in fuel duty !

 

But they are usually a second vehicle and use the road less so don't add much to road wear ?

 

 

Dave

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8 hours ago, Wildwood said:

The drop reflects a drop in consumer confidence, but the increase in tax may have put off some buyers where the price is just over the £40,000 figure, given that there is lots of pressure on the government to reduce the tax, there could be quite a few people waiting to see what happens. I cannot see the tax would affect the higher priced models though as it becomes far smaller in percentage terms.

The ridiculous thing about the new tax is that it only applies to motorhomes up to 3500kgs in weight. Buy a new motorhome that weighs more than 3500kgs not only do you not pay the luxury car tax the VED is only £165 a year!!! The anomaly is all to do with how commercial vehicles are taxed but you do wonder if there is any seriously joined up writing in Government!!!

 

In terms of sales motorhomes have doubled in units sold over the last ten years so I suppose  given the turmoil and uncertainty we have suffered particularly in the last year it wouldn't be surprising if there was a rowing back of sales. 

 

David

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There was a longer report on last nights Look North, where Rob Quine( who has lost a  shed load of weight and I did not recognise him at first) hinted at job loses if it continues. It may be a cyclic decline, but as the new  Tory MP has got involved it made the news.

 

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On 25/02/2020 at 08:22, Black Grouse said:

All vehicle sales have declined over the last year - a number of reasons in addition to the equalisation of VED rates, ie dieselgate, political uncertainty, etc.

Not ALL vehicle sales have declined, Rolls Royce who build cars just 6 miles from where I live had record sales in  2019.

Alan

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perhaps the CMC were a bit hasty with the name change, especially since they are putting more glamping pods and yurts on their sites now.

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1 hour ago, joanie said:

perhaps the CMC were a bit hasty with the name change, especially since they are putting more glamping pods and yurts on their sites now.

:Plus1:  It only changed its name because the Chairman bought a motorhome!  :D

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2 hours ago, joanie said:

perhaps the CMC were a bit hasty with the name change, especially since they are putting more glamping pods and yurts on their sites now.

Maybe the next name change will be to the Caravan, Motorhome and Camping Club. The changes might be part of their anticipation of the change to electric cars and less being able to tow. I think it was in the latest CMC mag they are putting in these pods and yurts on their Troutbeck site. I stayed there for 3 weeks a few years ago, nice site, lots of midges and the facilities needed an upgrade with not enough of them for the size of the site and this could be more of an issue if caravans are replaced by tents/pods.

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Im not supprised,we all say about the prices of caravans going thru the roof.last year our kontiki 669 was £101 retail and now this year equivelant is £153 retail.So if they write to the gov,will the gov ask to see there profits before they consider reducing the tax?

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19 hours ago, Paul1957 said:

 I think it was in the latest CMC mag they are putting in these pods and yurts on their Troutbeck site.

Is it just me or do others think that renting these pods and yurts etc are an expensive option?  I think that AirBnBs will really take off and become quite competitive.

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39 minutes ago, Durbanite said:

Is it just me or do others think that renting these pods and yurts etc are an expensive option?  I think that AirBnBs will really take off and become quite competitive.

the way that the site prices are increasing and also the price of caravans plus service, storage and insurance and a lot of the old folk coming to the end of their caravanning days the industry may also be dying out.  

Looking at your link , starting at £29 a night is very competitive.

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1 hour ago, Durbanite said:

Is it just me or do others think that renting these pods and yurts etc are an expensive option?  I think that AirBnBs will really take off and become quite competitive.

 

I would think that getting an AirBnB in some nice spots that caravans end up in would be a struggle, if at all, likewise if you have children and animals.

 

I doubt there would be many in Abersoch where my caravan lives.

 

Many councils and the tax man are now looking interestingly at AB&B's , due to the fact that a great many of them are not being used as they were origionally, i.e. renting out your spare room, but are being used on a commercial basis.

 

But yes, long term I can see a possible decline in touring caravanning somewhat due to the towing problem with electric vehicles, which may, or may not, be resolved some time.

 

I've had a similar discussion with my friend whose farm site mines on, he has a few statics, seasonal pitches, touring pitches and tents and also storage space.

 

He said he would possibly turn all the pitches into seasonal, he has a waiting list a mile long, though he said he does like having tourers on.

 

Just had a quick look at AB&B around Abersoch, 2 adults 2 weeks out of season and the prices range from £78 to £255 per night, on and there is a beach hut for £91 per night !

Edited by Silversurf
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22 hours ago, Silversurf said:

Just had a quick look at AB&B around Abersoch, 2 adults 2 weeks out of season and the prices range from £78 to £255 per night, on and there is a beach hut for £91 per night !

Cheap when you consider caravan ownership taking into account cost of caravan, servicing, storage , insurance, cost of towing and cost of using a site.  An AirBnB makes a good argument for purchasing an EV!  :D

We have used pet friendly AirBnBs and found them to be more convenient than using a site stuck out in the woods.  Having said that we do enjoy our caravan.

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I think that there is a down turn in a lot of buisness even before the corona buisness. There is less shifts available, I know someone who has sold off 2 brick and block trailers as less work about, travis Perkins are making redundancies all before the corona buisness. 

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We have a 5000kg motorhome and so it "enjoys" the £165 per year tax disc (1). My understanding is that there were so few vehicles in the 3500kg - 7500kg category - and those that were were mostly horseboxes - the taxing has never altered.

 

The 26000kg coach conversion that we owned was also £165 per year.

 

4000 miles per year - glad we are not one of those!

 

Russ

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