RE-PRICING OF 12 MONTH MOORING PERMITS 2012

MARKET AREA REPORT FOR &

Introduction

This report provides the rationale for mooring price decisions for 2012.

For explanation of the method and relevant policy, please see our public statement at www.britishwaterways.co.uk/media/documents/Moorings_Report_Overview_Report.pdf.

Profiles of privately operated sites in the area are appended. We researched and compared their prices with the BW rates to inform our judgements, but because this data is commercially sensitive it has not been included.

Local market overview

This area comprises the as far as Stourport and the & Canal from Gloucester southwards to Sharpness where the canal locks out onto the River to the Channel. Coastal and wider boats can be accommodated along this stretch of the network.

The area also includes the Worcester & Canal as far as Hopwood Tunnel and the recently opened Droitwich Canal, offering a variance of interesting and pretty cruising rings. Never far from the M5, the navigations offer a convenient and attractive option for boat owners living throughout the South West as well as the Midlands. BW does not have any directly managed moorings on the River Severn.

BW operates the following sites in the area:- Site name Site capacity (berths)

Gloucester & Sharpness Canal Alexandra Quay 2 Llanthony Pontoons 4 Monk Meadow 40 Sellars Bridge 10 Parkend 10 Saul Junction 20 North 9 Fretherne South 6 Splatt 19 Patch 18 Purton 11

Worcester & Birmingham Canal

Tibberton 12 Dunhampstead 4 Tardebigge 11 Bittell Reservoir 13 (2 x Residential)

Droitwich Canal

Netherwich Basin 10 Hanbury Wharf Arm 5

Staffordshire & Worcester Canal

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Stourport Upper Basin 1 (Residential) Stourport Upper Pontoons 32 Stourport Lower wide-beam 9 (2 x Residential) Stourport Lower Pontoons 14

Total capacity 260

Supply assessment

In addition to these BW long term moorings, there are approximately a total of 2040 online and offline linear, basin and marina mooring berths in this market area. The total market comprises of approximately 2300 berths.

Droitwich Spa Marina is due to open in spring 2012, supplying some 238 new berths on the Droitwich Canal (included in the above supply estimate). As a result of this BW will need to reduce online moorings by 23 as part of the OLMR policy within twelve months of the marina opening. This will be achieved through natural wastage – we will not advertise vacancies when mooring permits are not renewed.

Demand assessment

Most BW sites are at full capacity and we are generally seeing steady results from auctioned vacancies (see below). Mooring operators on the River Severn reported that they had some vacancies available at the time of our research.

Analysis of auctioned vacancies

The table below summarises the results of auctions from October 2009 until July 2011. More recent results can be found on www.bwmooringvacancies.com.

(The prices shown in this table include VAT at 20%)

Average Guide Total price £ per No. of Total sold > Site Name (current) £ per vacancies metre bids guide price metre advertised following auction Llanthony £128.88 11 3 0 £92.82 Pontoons Monk Meadow £777.57 (per £553.57 (per 23 21 0 8m berths berth) berth) Monk Meadow £1759.20 (per £1269.11 23 146 1 18.5m berths berth) (per berth) Monk Meadow £1908.49 (per £2227 (per 1 4 1 20m berths berth) berth) Sellars £111.69 11 31 1 £89.00 Parkend £111.69 5 31 0 £86.98 Saul £128.88 17 204 1 £100.19 Fretherne North £111.69 8 2 0 £78.76 Fretherne South £119.22 5 24 1 £92.83 Splatt £133.17 5 81 1 £104.48 Patch £119.22 6 32 1 £93.21 Purton £133.17 4 18 0 £100.14 Tibberton £93.43 13 13 0 £74.21 Dunhampstead £93.43 11 3 0 £67.04 Tardebigge South £125.66 3 38 1 £123.71 Bittell (non elec) £110.62 3 9 0 £89.11

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Average Guide Total price £ per No. of Total sold > Site Name (current) £ per vacancies metre bids guide price metre advertised following auction Bittell (elec) £119.22 1 23 1 £171.67 Stourport Upper £128.88 8 17 1 £102.06 Pontoons

Private operator reference sites

We have identified the following privately operated mooring sites as being the most relevant to the BW sites for price comparison purposes: Sharpness Marine Saul Junction Marina Saul Junction Boat Owners Association Boat Station Victoria Basin (BWML) Marina Marina Lower Lode Hotel Upton Marina Stourport Marina Marina Alvechurch Marina (ABC leisure) Worcester Marina (ABC leisure) (BWML)

A comparison of key characters of the BW and reference sites is shown in the appendix.

Challenges to Pricing Decisions We have made the pricing recommendations below based on thorough market research. It is our policy, set at Board level, to set prices which reflect market supply and demand and to compete fairly with private operators. BW has neither powers nor duty to provide subsidised moorings. If you feel that the price decision made for your mooring site is unjustified having read this report, we ask that you write to the National Moorings Manager explaining why you think it is the case. Please explain the reasoning for your challenge including evidence such as price and descriptions of nearby privately operated mooring sites. We will not amend the price without this evidence. We will consider your representation and respond in writing within two working weeks. If you are not satisfied with the response, you may request that the matter is dealt with through our formal complaints procedure.

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Pricing conclusions

The table below summarises our site-by-site conclusions across the area. Prices include VAT at 20%.

2011 Price from Site Name Notes on pricing decision Price April 2012 These moorings are in a prime location within the Gloucester Docks. They accommodate two hotel boats which are operated by Aleandra Quay £139.63 £141.01 English Holiday Cruises. In the past these moorings have had quite significant price increases, making them the most expensive moorings on the G&S Canal, therefore a nominal price increase will be implemented in 2012-13. There are only 5 mooring berths at this site and turnover has been low. We have sold 3 out of 11 mooring berths advertised at this site and a number of these berths were advertised more than once before the vacant berth was filled. All of these 3 vacancies were Llanthony Pontoons £128.88 £128.88 sold at the reserve price. This site is priced much lower than the nearby BWML moorings in Victoria Basin, where there are vacant mooring berths which they seem to have difficulty in filling. Monk Meadow (per berth)

These mooring berths have been difficult to auction since the last mooring price review. There is a high turnover of boats on these 8m £777.57 £777.57 moorings. We have sold 7 out of 23 mooring berths advertised at this site. Some of the berths were advertised a number of times before the vacancies were filled. Out of the 7 berths sold, 5 were sold at the reserve price and two were sold slightly higher than the reserve price.

These mooring berths had been difficult to auction since the last mooring price review (when the mooring price was reduced). However, the site is now at full capacity. There were 18 mooring berths sold through the mooring auction process. Some of the berths were advertised more than once before the mooring berth was filled. Out of the 18 vacancies sold, 10 were sold at the reserve price, 8 were sold above the reserve price and 1 vacancy received bids in excess of the guide price. The site offers no facilities on 18.5m £1759.20 £1759.20 site for mooring customers, and therefore should be priced slightly lower than the nearby competitor moorings which offer more in the way of facilities and where there are mooring vacancies at the moment.

There are only three 20m mooring berths on these pontoons and turnover has been low, although interest in this size of mooring vacancy has been very much sought after. We have sold 1 mooring vacancy, which generated 4 bids and the berth was sold much 20m £1908.49 £1908.49 higher than the guide price. However, as this mooring site offers no facilities on site for mooring customers, I would only recommend that the price remains unchanged.

This mooring site is situated close to Hardwicke & Quedgeley housing estates. The site has access to a shared water point and Sellars Bridge £111.69 £111.69 refuse facilities. We have sold 6 out of the 11 mooring vacancies advertised at this site. A number of the berths were advertised more than once before the berths were filled. Out of the 6 berths sold; 3 were sold at the reserve price and the other 3 were sold Gloucestershire & Worcestershire 2012 Page 4 of 9

above the reserve, but only 1 vacancy attracted bids above the guide price. There are no plans for future improvements to this site and so the price remains unchanged. This is a basic towpath mooring site that only offers shared refuse facilities for mooring customers. It’s about 3 km away from the Parkend Bridge £111.69 £111.69 nearest facilities at Saul. We have sold 3 mooring berths here: 2 were sold at the reserve price and 1 vacancy was sold slightly higher than the reserve. These moorings remain fairly popular due to their off-side location and their amenity to services and facilities at the mid-way point of the G&S canal. We have sold eight out of 17 vacancies advertised at this site. A number of vacancies were advertised more than once before the mooring berth has been filled. Out of the vacancies sold, 4 were sold at the reserve prices and 4 were sold above the Saul Junction £128.88 £122.44 reserve price. Only 1 berth attracted bids in excess of the guide price. This site is in close proximity to other private moorings in Saul and this site is currently priced quite a lot higher than a comparable private site nearby, which also has limited facilities on site for boaters. As such a price reduction is recommended.

Fretherne North £111.69 £111.69 The number of boats on these moorings has been significantly reduced following the opening of Saul Marina in 2008. This is a basic, towpath mooring which has not generated much interest in the various lengths of mooring vacancies advertised. Only two out of eight mooring berths have been sold and they both sold at the reserve price. The price remains unchanged. These moorings are located mid-way along the G&S canal, within close proximity to Frampton on Severn village, which has a number of services and amenities available. The site remains at full capacity, despite local issues. There have been 5 mooring vacancies Fretherne South £119.22 £119.22 sold at this site at auction; 3 of which were sold at the reserve price, 1 slightly above the reserve price and the other vacancy was sold just above the guide price. These moorings are set in a pretty village location, with attractive views across the Severn estuary. The moorings are at full capacity and this site remains to be one of the most popular mooring sites along the G&S Canal. There have been 5 mooring vacancies sold Splatt Bridge £133.17 £133.17 at auction; 2 of these were sold at the reserve price, with 2 selling slightly above the reserve. The other 1 sold well above the guide price. This site has had high percentage increases in past mooring pricing reviews and will be held this time. These moorings are located on the off-side of the canal, in a tranquil area just south of Slimbridge village. The site is at full capacity at this time. There have been 4 mooring vacancies sold at auction on this site; 3 of which were sold at the reserve price and the other Patch Bridge £119.22 £119.22 one was sold well above the guide price. T site is priced fairly at a slightly lower rate than other mooring operators in the area who can offer more facilities. These moorings are set in a pretty village location, with attractive views across the severn estuary. The moorings are at full capacity and this site remains to be one of the most popular mooring sites along the G&S Canal. There have been 3 mooring vacancies sold Purton South £133.17 £133.17 at auction; two of these were sold at the reserve price, with the other one selling slightly above the reserve. This site has had high increases in past mooring pricing reviews and is higher than the nearby marina as such the price remains unchanged. These moorings are located on the towpath, within close proximity to Tibberton Village. There has been a low turnover in mooring berths becoming available at this site. BW has only sold 3 out of 13 berths through the mooring auction process. Some of the Tibberton £93.43 £93.43 vacancies were advertised a number of times before the mooring berths were eventually filled. Out of the sales, 2 berths were sold at the reserve price and the other vacancy sold slightly higher. The moorings are one of the lowest priced moorings in the area.

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As per Tibberton, these moorings are located on the towpath in a rural part of the W&B Canal which does not have direct access to Dunhampstead £93.43 £93.43 much in the way of facilities. We have sold 3 out of 11 mooring vacancies advertised at this site. A number of the vacancies were advertised more than once before they were sold. All 3 sales were sold at the reserve price. This site runs parallel to Bittell Reservoir, with a gated access and a number of shared water points on site. We have sold 2 mooring Bittell (non elec) £110.62 £110.62 vacancies here through the mooring auction process. One smaller vacancy was sold at the reserve price and the other bigger vacancy was sold just above the reserve. This site runs parallel to Bittell Reservoir, with a gated access and a number of water & electric points on site. BW has sold 1 mooring vacancy here through the mooring auction process. This vacancy attracted a high volume of bidders and it was sold in excess of the Bittell (elec) £119.22 £121.60 guide price. This price increase would ensure that the site remains to be priced competitively with other mooring providers in this area. These moorings are located close to Tardebigge Yard, where there are a range of customer facilities available. The berths have had a Tardebigge South £125.66 £128.18 relatively low turnover over the past 3 years. We sold 2 out of 3 mooring vacancies advertised at this site. Both sales attracted many bids above the reserve price, one of them was sold in excess of the guide price. These moorings are located close to Tardebigge Yard and they have had a relatively low turnover over the past 3 years. We sold 2 Tardebigge Basin £125.66 £128.18 out of 3 mooring vacancies advertised at this site. Both sales attracted many bids above the reserve price, one of them was sold in excess of the guide price. These moorings are located on a wharf next to Tardebigge Yard. We have had no turnover in berths becoming available here in the Tardebigge (elec) £134.25 £140.29 last 3 years. The mooring fee set would keep the price in line with similarly priced moorings in the area and reflect no churn. These 10 pontoon mooring berths only became available when the Droitwich Canal was officially re-opened in July 2011. The price set at that time reflected comparable L1 moorings on the nearby W&B Canal, as these were the nearest moorings. However, none of the vacancies have attracted any bids on the mooring auction site and the site remains empty. There are no customer facilities Netherwich Basin £118.14 £106.33 anywhere along this stretch of the Droitwich Canal, so these moorings are just a basic tie up point with a locked access gate. There is also a new marina development called Droitwich Spa Marina nearby, which is due to open in 2012 and they have yet to set their mooring prices. Price decrease will be implemented. These moorings are located on the towpath, within close proximity to the new marina development at Droitwich Spa Marina and therefore this site will be subject to closure under the OLMR in the near future. The permit holders for this site have been granted a Hanbury Wharf Arm £67.94 £78.13 fixed rate temporary mooring permit to remain here only until such time as the marina opens and they will not have the option to renew their mooring beyond July 2012. Any vacancies that may be vacated will not be filled again. Therefore, to align their prices to similar moorings on the W&B Canal an increase is recommended. These mooring pontoons are set within the Stourport Upper Basin, in a thriving part of the town. These mooring berths remain full to capacity and the vacancies attract a lot of interest whenever we advertise. We have sold 8 out of 14 mooring berths through the mooring auction process (with only the smaller 8 metre berths having to be advertised more than once before the spaces were filled). Stourport Upper £128.88 £131.46 Pontoons Out of the 8 berths sold, 3 were sold at the reserve price, the other 5 were sold above the reserve price, with one of them having attracted bid in excess of the guide price. Nearby marinas offer many more facilities and services for mooring customers and are priced very high to reflect this. However, the level of facilities on site for our mooring customers is reflected in the price of these mooring berths and a price rise recommended to align BW to other private operators.

Stourport Upper £128.88 £132.75 This mooring FL was set up to accommodate 1 residential boat. However, it has never been priced as a residential berth in the past.

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Residential Therefore, I would recommend a price increase that is slightly higher than a standard leisure mooring berth in this area. These moorings are linear, as opposed to the pontoon structures of the other directly managed moorings in the Stourport Basins. A Stourport Lower £119.22 £121.60 Wide Beam nominal price increase would appear to be suitable for these moorings to keep them competitively priced with other mooring providers in the immediate area. These mooring pontoons are set within the Stourport Lower Basin (behind Danters' fairground). The pontoons are suitable for small craft up to 9.5 metres. We have had quite a few mooring berths become available over the past 3 years, but whenever we had Stourport Lower advertised mooring vacancies here they have not attracted any bids. Reflecting on the pricing for moorings in this area, it seems that £125.66 £119.38 Pontoons this mooring site may have been priced over the odds in recent years, therefore a price reduction is required in order to stimulate interest in these moorings and in an effort to bring the price back down to a level which is directly comparable to cruiser sized moorings in other parts of the basin.

Jenny Whitehall BW National Mooring Manager January 2012

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Appendix

Gloucester & Sharpness Canal – private moorings Approx number Current Waiting Site name Mooring style Site setting Site amenity leisure vacancies? list? moorings Victoria Basin Layby/basin 65 Basin within the Docks Marina with pontoons No No Sharpness Marine Offline 165 Old Arm at the end of the G&S Canal Marina with pontoons Yes Yes 280 berth marina with fully Saul Junction Marina Layby/basin 284 Opened May 2008 Yes Yes serviced facilities on site. Saul Junction Boat Owners Assoc. Offline 20 Offline moorings on the Stroud Arm Shared water points No Yes off-side linear moorings (some with Slimbridge Boat Station online offside 45 In a small village close to the Wildlife & Wetlands Trust No Yes electric)

River Severn – private moorings Site Name Setting Mooring amenity Facilities Located in a rural location on the River Avon near Parking, drinking water, refuse disposal, pump-out, elsan, Tewkesbury Marina Tewkesbury, close to the junction with the River 400 berth marina with serviced pontoons toilets, and showers. Severn via Avon . Set in a rural location on the River Avon, on the 80 riverside & sheltered creek moorings. Area Parking, drinking water, refuse disposal, pump-out, elsan, Bredon Marina Worcestershire & Gloucestershire border, close to the prone to flooding, when access is not permitted for toilets, showers, diesel M5 & M50 motorways. safety reasons. Rural location near Forthampton, looking across the Riverside small linear pontoon, with access across Lower Lode Hotel Parking, refuse disposal, elsan, toilets, showers. River Severn to Tewkesbury. ramp from Lower Lode Inn car park Located off the River Severn close to Upton upon Parking, drinking water, refuse disposal, pump-out, elsan, Upton Marina 280 berth marina with serviced floating pontoons Severn, south of Worcester and north of Tewkesbury. toilets, showers, electricity, diesel, gas & crane. Located off the River Severn in rural Worcestershire, Parking, drinking water, refuse disposal, pump-out, toilets, Stourport Marina 130 berth marina with serviced floating pontoon close to the M5 & M42 motorways. showers, electricity & diesel

Droitwich Canal – private moorings Approx. number Current Waiting Site name Mooring style Site setting Site amenity leisure vacancies? list? moorings Marina with fully serviced Taking Droitwich Spa Marina Marina 238 (New in 2012). Rural offline marina Yes pontoons and facilities on site. bookings

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Worcester & Birmingham Canal – private moorings

Approx. number Current Waiting Site name Mooring style Site setting Site amenity leisure vacancies? list? moorings Alvechurch Marina (ABC leisure) Marina 90 Rural setting – on the outskirts of Alvechurch village Marina with pontoons Yes n/a

Close to Worcester City Centre, with links to River Severn and Worcester Marina (ABC leisure) Marina 105 Marina with pontoons No n/a W&B Canal

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