The cost of self storage is set to increase due to changes in the VAT rules. From October last year, standard rate VAT applies to self storage operators. This was to balance out some issues in perceived advantages gained by larger providers in the industry. A good article and explanation was recently written by Reeves.
The result of the introduction of VAT has seen an increase in storage prices across the industry. Some of the larger storage companies have kept their prices the same and absorbed the VAT cost, but many will have no option but to increase the cost of self storage to the consumer.
It is therefore important therefore for customers to make sure they are getting the best deal available when they look into the cost of self storage. You should be aware of exactly what your storage quote includes.
There are many storage companies now doing offers such as storage for £1.00 or half price for the first eight weeks. Sounds good, but is there a catch? Just how much will your storage costs increase at the end of your offer and how long to do you have to stay? Some offers could end up costing you more in the long run.
When working out the cost of self storage or getting a quote there are a few key issues you should address with the storage company. Here are our top 5 questions to ask when calculating the total cost of self storage.
1. Are you tied in for a specific time period ?
2. Will the price increase considerably once any special offer period has ended?
3. Does the price quoted include VAT and insurance?
4. Is there a deposit to pay or additional hidden charges for access to your belongings?
5. Is there a period of notice that has to be served?
Lucinda Dangerfield, co-owner of Space Centre self storage “Location is also important, particularly if you are looking for cheaper storage or to reduce existing storage costs.”
“Large storage chains often occupy expensive prime retail sites in city centres. If you don’t need regular access you can save money by storing outside the city centre where rates are considerably lower. What’s more, these sites are often easier to access by car as you don’t get stuck in the city centre traffic.
Here at Space Centre Self Storage, we have a clear pricing policy and check our prices against competitors regularly. Unlike some other storage providers we advertise all our prices on our website.
We give free insurance and do not charge deposits or hidden extras. Customers are therefore fully aware of the costs involved and we also try to fix our prices for at least the first 12 months of their stay, if not longer.”
What has your experience of the cost of self storage? Have you been caught out by hidden charges ? If so, share your experience with our readers in the comments box and help them avoid the same pitfalls. If you’ve got any questions you’d like answers to you can contact us.