Our Customers Love Us!

Holiday Homes Insurance

Get a Quote

Get Quote

HomeProperty InsuranceHoliday Homes InsuranceHoliday Home Park Chain Goes into Administration

Holiday Home Park Chain Goes into Administration

There was surprise amongst the UK holiday industry on Friday at the announcement that the iconic holiday firm Pontins is to enter Administration. Accountants KPMG were called in on Friday evening to find that the summer bookings have collapsed and cash flow problems have subsequently meant the holiday chain will enter into administration. The largest creditor (the Santander bank) is thought to want to keep it going as a going concern for several months in the hope that a new buyer can be found to save the company. The sale process will probably take 2 to 3 months.

The collapse of Pontins comes as a shock because of the huge increase in the number of UK residents taking the so-called ‘Stay-cation’ (as the recession bites and the power of sterling abroad weakens). Many families are choosing to cut costs by renting a holiday homes in the UK or visiting holiday parks such as Pontins or Butlins for cheaper holidays. The group employs over 850 people and runs five sites in Somerset, Sussex, Suffolk, Wales and Merseyside.

The group also suffered from extremely bad television publicity this year regarding the standard and cleanliness of it’s holiday park facilities. The huge growth in families holidaying at home in popular hotspots such as the South West has seen a mini boom in Holly home rentals and bed and breakfast bookings.

The holiday group continues to accept bookings and claims to have catered for 5000 guests this weekend alone. It is famous for it’s seaside blue coats and for providing family entertainment for working class holidaymakers at the lower end of the market. Administrators KPMG are seeking an experienced operator to run the Group in the interim while a buyer is found. They commented’ Pontins is an iconic British brand which forms the backdrop to thousands of treasured family holiday memories” it has unfortunately struggled in the current economic environment but, with some support from new management, we are optimistic that it will be part of thousands of family memories in years to come”.

Pontins has also come under intense competitive pressure in the last two or three years, as his main rival Butlins has invested heavily in new hotels and better facilities to attract holidaymakers with greater spending power. In addition the number of holiday homes and second homes on the market has increased as private investors have failed to sell the property or have sought to cash in on the increase in the number of people choosing to rent out a holiday home in the UK.

Latest News & Advice

Spanish Rental Property

Spanish Rental Property

For many people, buying a Spanish Rental Property is the first step to moving on a permanent basis, often people will spend part of the year at their Holiday Home and for the rest of the time it is empty. Renting out your own home can help pay the bills especially if you have a mortgage on the property to contend with. Spain is a very popular tourist destination and with the right amount of advertising, you may find renting your property to be quite easy....

Spanish Property Contracts

Spanish Property Contracts

With all the talk about house prices in Spain we thought it would be a good idea to run over a few tips for purchasing a home and some things to look out for. The housing market in Spain is a bit up and down at the moment so take your time before you rush in to any purchases. The golden rule of purchasing from a selection of apartment rentals in spain is never sign any legal document until you have had it checked over by your solicitor....

Spanish CGT Rebate

Spanish CGT Rebate

During the last 20 years the price of holiday homes in Spain have enjoyed an unprecedented boom, with values reaching a peak in 2007. Many UK residents though decided to dispose of their property and were subject to capital gains tax, levied by the Spanish government. If you were previously the owner of a holiday home property in Spain and disposed of the property between 1997 and the end of 2006, you would have paid 35% capital gains tax on the sale whereas Spanish residents only paid 15% tax. Many thought this was unfair and The European Court of Justice have now confirmed legal arguments put forward by a Spanish lawyer, representing a larger number of sellers that this difference in the amount of tax charged, contravenes European Community Treaty discrimination rules and should not have been charged at this level....