On 25 November 2020, the UK government and UK Statistics Authority (UKSA) published their response to the joint consultation on the timing of the reform to the Retail Prices Index (RPI).
As announced in September 2019, the UKSA wishes to eventually bring the RPI in line with the methods and data sources of the Consumer Prices Index. However, this proposal would require the consent of the Chancellor if it were to be implemented before 2030.
The earliest time, from both the legal and practical point of view, is now February 2030, this being the maturity date of the final specific index-linked gilt. After this date, the UKSA can implement changes to RPI unilaterally.
Park operators should be mindful of the future change to the RPI methodology as it will likely affect any future pitch fee reviews.
If you have any questions regarding this article or the response, please contact our specialist Parks team who will be happy to provide bespoke advice and guidance.