Finance Assets arranges hire purchase and leasing for UK businesses buying accommodation for their own workers, including staff caravans, modular accommodation units, sleeper cabins and amenity blocks.
Site accommodation and staff housing finance spreads the cost of worker accommodation over 3 to 7 years, so farms, hotels, holiday parks and contractors can house staff without a large cash outlay. We are a broker, not a lender, so we compare quotes from our lender panel rather than offering one bank’s product.
Written by Marcus Wright, founder of Bolton Business Finance Ltd, in financial services since 2008 and a commercial finance broker since 2019. Last reviewed October 2026.
On this page
- Units we finance
- Staff caravans and lodges
- Modular accommodation units
- Sleeper cabins for site teams
- Kitchen, laundry and amenity units
- Farms and growers
- Hotels, holiday parks and resorts
- Contractors and remote projects
- What lenders look at
- Leasing and hire purchase compared
- A worked example
- VAT and tax
- FAQs
- Get a quote
The short version
- Staff accommodation finance usually runs over 3 to 7 years.
- It covers movable units: caravans, modular units, sleeper cabins and amenity blocks. Permanent buildings are funded with a commercial mortgage instead.
- Lenders want to see that the land, planning and site licensing allow the units to be used for housing staff.
- Delivery, craning and service connections can often be partly included.
- Finance Assets arranges this finance for limited companies and LLPs, and for sole traders and partnerships on agreements over £25,000.
| Item | Detail |
|---|---|
| Units covered | Staff caravans and lodges, modular accommodation units, sleeper cabins, and kitchen, laundry and wash blocks |
| Terms | Usually 3 to 7 years, depending on the unit and how long it is needed |
| Paid upfront | Leases: usually 1 to 3 rentals in advance. Hire purchase: often a 10% deposit plus any VAT |
| New or used | New and used. Refurbished caravans and modular units from established suppliers are often funded |
| Extra costs | Delivery, craning, siting, service connections and furniture packs can often be partly included |
| Who we help | Limited companies and LLPs, plus sole traders and partnerships on business agreements over £25,000 |
Staff accommodation units we finance
Each type of unit is covered in its own section below. A mix of bedrooms, kitchens and wash units for one site can go on one agreement. For site offices, welfare units and toilets used during the working day, see our portable cabin and modular building finance guide.
| Unit | Typical buyers | Typical term |
|---|---|---|
| Staff caravans and lodges | Farms, growers, hotels and holiday parks | 3 to 5 years (newer lodges up to 7) |
| Modular accommodation units | Larger employers, estates and contractors | 5 to 7 years |
| Sleeper cabins | Contractors on remote or long-running projects | 3 to 5 years |
| Kitchen, laundry and amenity units | Anyone housing several staff on one site | 3 to 5 years |
Staff caravan and lodge finance
Static caravans are the most common way to house seasonal staff in the UK. They are quick to site, widely available used, and easy to sell on.
- Specification. Units used for long stays or through winter need proper heating, insulation and double glazing. Caravans built to the BS 3632 residential standard are designed for year-round living.
- Used units. Refurbished caravans are a common, lower-cost choice. Lenders look at age and condition against the term.
- Siting. Delivery, positioning, connections, steps and furniture can often be partly included alongside the units.
Modular accommodation unit finance
Modular accommodation units are factory-built rooms or apartments that are delivered to site and joined or stacked into a block. They suit larger numbers of staff over longer periods.
- What is covered. En-suite bedroom modules, multi-bedroom units, stairs and walkways supplied with the modules, and fitted furniture.
- Relocatable or permanent. Asset finance suits units that can be lifted out and moved. A block built on permanent foundations becomes part of the property and is usually funded with a commercial mortgage, which we can also arrange.
- Groundworks. Bases, drainage and utility runs are usually only partly fundable, so expect to cover some of the site preparation yourself.
Sleeper cabin finance for site teams
Sleeper cabins are steel or anti-vandal units fitted out as bedrooms, used where crews work far from home or hotels are scarce.
- Where they are used. Remote infrastructure, energy, rail and civil engineering projects, and contractors working long shifts.
- Moving between projects. Owned sleeper units can move from job to job, so lenders look at the pipeline of work rather than one project alone.
- Buy or hire. For a single short project, hiring may cost less. Buying on finance makes more sense when units will be used across several jobs.
Kitchen, laundry and amenity unit finance
Where several staff live on one site, shared units are often needed alongside the bedrooms.
- What is covered. Kitchen and dining units, shower and toilet blocks, laundry units, drying rooms and recreation units.
- One agreement. Amenity units are usually funded on the same agreement as the bedrooms, which helps reach lender minimums.
- Equipment inside. Washing machines, dryers and kitchen equipment can be included. For larger laundries, see our laundry equipment finance guide.
Staff accommodation finance for farms and growers
Fruit, vegetable, flower and dairy businesses often need to house seasonal or permanent workers on the farm.
- Seasonal payments. Growers with a harvest-time income can sometimes have payments weighted towards the months cash comes in.
- Standards and audits. Growers supplying retailers often have worker accommodation checked in ethical audits. Better units can help you meet those standards.
- Planning and licensing. Check with your local authority what planning permission and site licensing the units need. Lenders will ask.
- With other farm kit. Accommodation can be funded alongside other farm equipment, such as handling and packing equipment, where that suits the lender.
Staff accommodation for hotels, holiday parks and resorts
Hotels, holiday parks and resorts in rural and coastal areas often struggle to recruit unless they can offer somewhere to live.
- Recruitment and retention. On-site accommodation can widen the pool of staff you can hire, especially for the summer season.
- Separate from guest units. Staff units are funded on their own agreement from any units let to guests. For holiday letting units, see our holiday park caravan and lodge finance guide.
- Planning conditions. Holiday parks often have planning conditions on how units can be used, so check that staff occupation is allowed.
- The rest of the hotel. Kitchens, laundries, refits and spa equipment can be funded too. See our guide to asset finance for hotels and resorts.
Site accommodation for contractors and remote projects
Contractors on remote or long-running projects can house crews on or near site rather than paying for hotels every night.
- Cost comparison. Compare the finance payment with the hotel and travel bill it replaces, including lost working time.
- Project length. Lenders look at how long the units will be needed and where they go next. A pipeline of work helps.
- With other site kit. Welfare units, site offices and plant can be funded alongside. See our civil engineering finance guide.
What lenders look at for staff accommodation
Because the units sit on land and people live in them, lenders check a few things they would not for other equipment.
- Land. Whether you own or lease the land, and for how long. A lease shorter than the finance term can be a problem.
- Planning and licensing. That the units have the permissions they need to be used for housing staff.
- Movability. That the units can be removed and resold if needed. This is what makes them suitable for asset finance.
- Your business. Trading history, accounts and bank statements, as with any asset finance.
Leasing and hire purchase compared
Hire purchase is the usual choice for units you will keep for years. Leasing suits units needed for a set period. Our types of asset finance guide covers each option in more depth.
| Option | How it works | Best for |
|---|---|---|
| Hire purchase | You pay a deposit and fixed monthly payments, and own the units after the final payment and any option fee | Farms and hotels housing staff year after year |
| Finance lease | You rent the units for most of their working life. At the end you extend at a low rent, or sell them for the lender and keep most of the proceeds | Spreading VAT and keeping upfront costs low |
| Operating lease | You rent the units for part of their life, then hand them back | Contractors who need units for a defined period |
Staff accommodation finance costs: a worked example
A grower buying four new staff units, with a kitchen and shower block, at £128,000 including delivery pays about £2,867 a month on a 4-year hire purchase, or about £2,391 a month over 5 years.
| Item | 4 years | 5 years |
|---|---|---|
| Price (excl. VAT) | £128,000 | £128,000 |
| Deposit (10%) | £12,800 | £12,800 |
| Monthly payment | £2,866.76 | £2,391.36 |
| Total interest | £22,404 | £28,282 |
The longer term lowers the monthly payment by about £475 but adds around £5,877 of interest. Compare the payment with what you spend now on housing or recruiting staff.
Illustration calculated in October 2026, assuming an interest rate of 9% a year. It is not a quote, and any VAT is not included. Your rate depends on your trading history, credit profile and the units.
VAT and tax on staff accommodation finance
Caravans built to the BS 3632 residential standard can be zero-rated for VAT, while many modular units and sleeper cabins are standard-rated. Confirm the treatment with the supplier and your accountant.
| Option | VAT | Usual tax treatment |
|---|---|---|
| Hire purchase | Any VAT is paid on the full price at the start, reclaimable if you are VAT registered | You may be able to claim capital allowances, and the interest is deductible |
| Finance lease | Added to each rental where VAT applies | Rentals are usually deductible |
| Operating lease | Added to each rental where VAT applies | Rentals are usually deductible |
Providing accommodation to staff can have payroll and benefit-in-kind consequences, and if you charge staff for it, the national minimum wage accommodation offset limits how much can count towards their pay. Check both with your accountant before setting rents.
What lenders ask for
- Your last 2 years of filed accounts, or management accounts and a forecast if you are newer
- Your last 3 to 6 months of business bank statements
- A quote for each unit showing the make, model, year, serial number and delivery and siting costs
- Details of the land, including any lease, and the planning or site licence for the units
- Photo ID and address history for each director, member or partner
Related guides
- Portable cabin and modular building finance, for welfare units and site offices
- Holiday park caravan and lodge finance, for units let to guests
- Civil engineering finance
- Laundry equipment finance
- All sectors we finance
- Types of asset finance
Who we can help
We arrange site accommodation and staff housing finance for UK limited companies and LLPs, and for sole traders and partnerships on agreements over £25,000 that are for business purposes. We are not authorised by the FCA, so we cannot arrange agreements of £25,000 or less for sole traders or partnerships of two or three partners, or finance for personal use.
Staff accommodation finance FAQs
Can I finance static caravans to house seasonal workers?
Yes. New and refurbished caravans can be funded, along with delivery, siting and connections. Lenders will want to see that the land and planning allow the units to be used for staff.
How much does staff accommodation finance cost?
It depends on the units, the term and your business. As an illustration, £128,000 of staff units costs about £2,867 a month over 4 years on hire purchase at 9%, after a 10% deposit, or about £2,391 a month over 5 years.
Can a permanent staff accommodation block be financed?
Not with asset finance if it is built on permanent foundations, because it becomes part of the property. That is usually funded with a commercial mortgage, which we can also arrange.
Is it better to buy or hire sleeper cabins?
For one short project, hiring often costs less. If the units will be used across several projects or for several years, buying on finance usually works out cheaper over time.
Can I lease the land the units sit on?
Usually, yes. Lenders will want the land lease to run at least as long as the finance, or a clear right to remove the units at the end.
Can kitchens and laundry units be included?
Yes. Kitchen, shower, laundry and drying room units are usually funded on the same agreement as the bedrooms, along with the equipment inside them.
Get a staff accommodation finance quote
Tell us what you want to finance
Send us the units, the price and a few details about your business and site. We will come back with the options that are realistic and what they are likely to cost.
About the author
Marcus Wright is the owner and founder of Bolton Business Finance Ltd, which trades as Finance Assets. He has worked in financial services since 2008, beginning his career at Santander, and has been a commercial finance broker since March 2019.
He founded Bolton Business Finance in 2020 to give businesses access to the whole lending market rather than one bank’s own product range. The firm is a member of the National Association of Commercial Finance Brokers and works with a panel of 135+ lenders. Call 0161 546 9128.
Finance Assets is a trading name of Bolton Business Finance Ltd, an independent commercial finance brokerage, not a lender. We are not authorised by the Financial Conduct Authority and can only complete non-regulated introductions. All lending is for business purposes only. Registered address: Westgate House, 1 Westgate Avenue, Bolton, Greater Manchester, BL1 4RF. Company number 12495909.