THEY have spent their working lives on a caravan production line – but Gary and Mandy Neve might not be able to afford a family break this year.
The couple have taken a £700-a-month hit as work slows down at Willerby, Britain’s biggest caravan manufacturer, and face staying at home this summer if Labour brings in a holiday tax.
The irony is not lost on the pair, whose children Charlie, 19, a joiner, and Lucy, 24, a cleaner, also work at the company.
Mandy, who is in quality assurance at the factory, says: “You’d think we would be first to book a holiday in this job, but we don’t know if we can afford it this year.”
Labour wants local mayors to impose a holiday tax of £2 per person, per night, which would cost a family of five £70 extra a week.
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At Willerby’s factory in Hull, Mandy says: “We don’t know what’s coming, things are so unstable.
The Government keeps taxing everything. Life is already so expensive, with the price of food and every bill going up. Now, we face a tax on taking a break. It’s a really worrying time in the industry.”
Husband Gary adds: “We will have to wait until the last minute to see how things are at work before we can even think about going away. Even then, we will have to think carefully about whether we can really afford it because we have less money coming in. This holiday tax will definitely have an impact when things are so tight financially.”
Willerby’s Chief Executive Peter Munk fears for the future if Labour brings in its proposed visitor tax.
The firm has already been forced to cut workers’ shifts from four days to three as the industry faces pressure from National Insurance hikes, rising energy bills and the cost-of-living crisis. Peter says: “We just keep on taking hit after hit.”
Willerby, which makes around 6,000 caravans and lodges each year, is marking its 80th anniversary in business — but there’s not much to celebrate.
Caravan parks hit by increased wages to seasonal and low-paid workers are holding off on orders, while holidaymakers are hesitant to book as the cost of living rises.
The crisis is even affecting youngsters’ career prospects.
Peter says: “We usually take on a few apprentices every year, but haven’t been able to offer that in the last couple of years as we can’t promise them jobs at the end. It’s brutal.
“We’ve also got more agency workers than we normally have, but we’re not in a position to offer them permanent employment either. We have to try and keep and protect as many skilled workers as we can.
“We’ve been able to absorb the cost of the National Insurance rises, but many of the parks we supply have been badly affected so, where they might have ordered new vans this year, they’re putting it off.
“The economy is so uncertain that holidaymakers are delaying booking breaks, so that causes uncertainty in the industry, too. We use a lot of electricity in the factory and increasing costs have also had a huge impact. We have a great, loyal workforce and are so aware of how the instability affects their lives.”
The company employed around 1,000 workers two years ago, but that has dipped to 700 — and those who are left worry not only for their own jobs, but for friends who work at local suppliers.
Willerby needs 5,000 parts to build caravans and lodges and relies on 174 suppliers, most of them local to Hull. It is believed around 20,000 jobs in the city rely on the industry.
One of the firm’s biggest rivals, Atlas Leisure in Hull, shut last year, citing rising operating costs.
Gary Neve says: “I hate to think about the impact it would have on the city if everything falls apart.”
Derek Stainton, 60, who works in machine repairs, adds: “We’ve had some of the hottest summers in Britain on record and business should be thriving.
“The problem is everyone’s household bills are going up and up and people just can’t afford a holiday.
“Taxing breaks in Britain will only make things worse.”
Willerby marketing manager April Court, 33, is tasked with sending out texts to employees alerting them to any cuts in hours.
She says: “It’s not nice to have to tell people that their hours are being reduced.
“There are so many hard-working, lovely people here and what’s happening is just awful.
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“Any tax on British holidays will really affect the industry and families rely on their jobs to live.”
The caravan industry has survived ups and downs over the years, from a sales boom during the pandemic to the current downturn.
The issue is being highlighted in new Sky series The Dyers’ Caravan Park — which Willerby has helped promote — where dad and daughter Danny and Dani Dyer try to revive a struggling holiday site in Kent.
Willerby boss Peter is now urging the Government to shelve the idea of holiday taxes.
He says: “With increasingly good summers, we saw some small signs of recovery last year, only for confidence to be knocked again. We’ve had to adapt to situations like the National Insurance increases and rising energy prices.
“These are big things that we can’t do anything about, but Labour can do something about the holiday tax — before it’s too late.”
Allen Simpson, CEO of trade body UK Hospitality, says: “I’ve never seen so many letters to MPs. It goes to show what a bad idea it is — no one wants to see their holiday go up by £100 right now and no one wants to see jobs lost.
“There’s still time to add your voice — holidays are for relaxing, not taxing.”
