People who rent beach huts have been told to either buy them for £9,000 each or pay an extra £300 in annual fees.

A two-year pilot scheme by Swale council and Minster Beach Hut Association (MBHA) was launched in 2013 to build the huts along The Leas, Minster.

They were originally a mixture of owned and leased properties.

The council last week sent a letter to licensees saying the two-year period will end in March and, if they would like, they can buy the hut they currently rent for £9,000 – a 10% discount on the actual price of £10,000.

On top of the fee to purchase the hut, there would also be a ground rent fee of £300 per year.

To keep renting after March, the annual fee will rise from £650 to £950 and tenants will have to pay for a minimum of three years.

David Holmes was one of the first to sign up to rent one of the beach huts. He said: “The whole thing stinks of greed to me.

“They say they looked at other areas that had sold off beach huts but if they’re comparing it to Whitstable and Tankerton, there are no facilities [on The Leas], no power, no toilets. I think they are being small-minded and greedy.”

The 61-year-old Bay View resident said he had spent hundreds of pounds doing up his hut but was not sure if he would be able to afford the new fees.

MBHA members paid £3,000 each into their huts and will see their ground rent fees increase from £50 to £300.

The council failed to comment at the time of going to press.