September 26th, 2011
Caravanning concerns
Most people would have thought that caravanning was the kind of activity that would survive the economic crisis largely unscathed. After all, caravans are an incredibly cheap way of having a great (albeit self-catered) holiday, and there have been no reports from the likes of Park Resorts (experts in caravan holidays as well as old and new caravan sales) of a drop in the number of people taking caravan holidays.
However, it is clear that the number of new caravan sales in the UK have been dropping off. Swift Caravans, who are probably the biggest of the UK’s manufacturers of caravans and motor homes, recently announced that they would have to make as many as 90 redundancies.
The problem, obviously, is that demand for new caravans and motor homes is falling, even if the number of caravaners isn’t. A new caravan can set you back as much as £15,000 if you’re going for a really top of the range model, whereas you can get second-hand ones for barely into four figures.
Closer inspection of Swift Caravan’s recent history suggests that the market is in something of a state of turmoil. In 2008 the company had to lay off 300 workers because of an abrupt fall in demand, caused by the economic crisis, but then last year, as sales began to pick up, they were able to re-hire 200 new staff.
The company also has recently expanded its factory, which is based in Cottingham, and says that even if short-term prospects are gloomy, in the long run it’s optimistic that demand will pick up. Although some industry insiders point out that as the quality of new caravans has improved drastically over the last twenty to thirty years, it’s possible that the second-hand market will pick up even more as the vans themselves now have longer running lives.
The factor that may decide the long term success of Swift and their rivals is the much vaunted ‘staycation’. In the wake of the recession, Brits increasingly decided to stay at home for their holidays, as it was felt foreign travel would be more expensive. However, much depends on the future of the budget airline industry, which still seems to be going well. As long as cheap air travel is possible, people are liable to choose southern Spain over sunny Scarborough.
Additionally, there are so many static caravan sites based around the UK, that the need to actually buy your own van is diminishing. Staying in a static caravan obviously costs more than a simple pitch, but you don’t have to buy the van in the first place. Still, for the freedom of the open road, and the possibility to go wherever you fancy, it seems likely that caravans will stay a familiar sight on the UK’s motorways for many years to come.



