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Government review launched into park homes commission charge

The UK government has initiated a review into the 10% commission fee charged on the sale of park homes, a longstanding issue that has attracted debate within the sector. This commission, which can amount to thousands of pounds, is payable to site owners under the Mobile Homes Act 1983, and the government seeks to clarify its rationale and fairness.

Background to the Commission Fee

Park home residents are currently required by law to pay a commission of up to 10% of their home’s sale price to the site owner. This payment has been a subject of ongoing discussion and concern among residents and site owners alike. The government’s review aims to explore the reasons behind this commission, what it covers, and how it fits within the existing legislative framework.

Government’s Call for Evidence

Launched on 5 March 2026, the government’s call for evidence invites stakeholders to provide insights into the commission fee. The 12-week consultation period will run until 29 May 2026, after which the government will analyse the responses and publish a formal position. This initiative responds to a commitment made by Housing Minister Matthew Pennycook last year to examine the issue further.

Key Areas of Inquiry

The call for evidence focuses on several critical questions:

  • The original reasons for imposing the commission;
  • What the commission payment covers and how it is calculated;
  • Its connection to other provisions within the Mobile Homes Act 1983;
  • Understanding the business model of the park homes sector.

Ministerial Statement

Housing Minister Matthew Pennycook emphasised the importance of this review, stating: “Recognising the longstanding concerns among park home residents about the requirement to pay site owners a commission upon sale of a park home, we are launching a call for evidence to better understand the rationale for it.”

He added, “Gathering vital information about the commission from the sector will allow us to act and thereby provide the clarity and certainty that park home residents and site owners have rightly been demanding.”

The minister encouraged all interested parties to contribute to the consultation to ensure a comprehensive understanding of the issue.

Context and Sector Response

The government’s review follows a 2022 research report that made four recommendations regarding the commission payment. A summary of stakeholder responses to these recommendations revealed a lack of clarity and consensus within the sector about the commission’s purpose and justification. This uncertainty has underscored the need for a thorough examination of the fee’s role and fairness.

What this means for landlords

For landlords and site owners, the review signals potential changes to a significant aspect of park home sales. Clarification or reform of the commission fee could impact business models and revenue streams. It is essential for landlords to engage with the consultation to represent their interests and help shape any future policy adjustments.

For agents and property managers involved in park home transactions, understanding the outcomes of this review will be crucial for advising clients accurately and managing sales processes effectively.

Source: Based on reporting from the Ministry of Housing, Communities and Local Government

TLA Training Academy

The Landlord Association has launched its new Training Academy for UK landlords, providing structured guidance, compliance education, and practical knowledge to support landlords at every stage. Members can now complete the programme and become TLA Certified Landlords at no additional cost as part of their membership.

Landlords can explore the Academy here: https://landlordassociation.org.uk/tla-academy/

Those looking to join and access the full training and certification can register here: https://landlordassociation.org.uk/landlord-association-membership-uk/

TLA update

The Landlord Association is currently onboarding new service providers into its Trusted Partner Hub, a new initiative designed to support landlords, tenants, letting agents, and property managers with vetted, high-quality services. As one of the fastest growing landlord associations in the UK, TLA offers partners direct access to an engaged and active member base at the point of need. Service providers across legal, maintenance, insurance, finance, mortgages, tenant screening, and property services can register their interest here: https://landlordassociation.org.uk/become-a-tla-service-partner/

Source: www.gov.uk

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