‘Rent out more farm land for longer’, Eustice says

Great In Grass

Member
Location
Cornwall.
FARMING MINISTER George Eustice says landowners should be encouraged to let out more farm land and for longer to improve routes into farming.

Speaking at the annual NFU National Tenant Farmers’ Conference, in Newbury, West Berkshire, today the Minister will argue that creating more opportunities to rent productive land would help overcome a shortage of chances for newcomers to get into farming.

Meanwhile, increasing longer-term tenancies would give more tenant farmers the security they need to build up their business.

The Tenant Farmers Association has led a campaign for longer rental agreements for some time. In September, the TFA’s chief executive George Dunn wrote in The Yorkshire Post that Farm Business Tenancies, introduced in 1995 to encourage more letting of agricultural land, were too short, and he called for such tenancies to last, on average, for ten years or more.

Farming Minister Mr Eustice, speaking ahead of his appearance at today’s conference, said: “Farming a third of all agricultural land in England, tenant farmers are important producers of high-quality products steeped in the heritage of Great British farming.

“They are a vital part of our long-term food and farming plan and increasingly new entrants are entrepreneurial, spotting business opportunities and different ways of doing things, and we need to support and encourage this innovation.

“I also want us to think innovatively about other ways we can open up opportunities for people to make a career in our £100billion food and farming industry because without a vibrant primary farming sector the supply chain is vulnerable.”

The Minister will also use his appearance today to say the Government’s long-term food and farming strategy will support growth in the food and farming industry by developing the British brand as a mark recognised as high quality with high animal welfare standards, winning new export markets and using new technology to reduce costs and improve profitability.

Environment Secretary Elizabeth Truss announced a separate campaign yesterday that aims to bring together Britain’s “food and drink pioneers” for the first time to help Britain become a “Great Food Nation”.

Top chefs Raymond Blanc and Ken Hom joined entrepreneurs and food leaders to launch the five-year campaign at the British Museum of Food in London’s Borough Market.

Explaining what she wants to achieve through the campaign, Miss Truss said: “I want to harness the talent of the UK’s food pioneers to banish outdated stereotypes and ensure that British produce is people’s first choice to eat here and abroad.

“With the help of our pioneers, we can continue to build on the success of our food and drink exports, which have doubled over the past decade, to encourage even more companies to sell Great British produce around the world.”

Her five-year ‘Great British Food’ campaign was welcomed by the National Farmers’ Union.

NFU president Meurig Raymond said: “We are glad to see Government and leading food pioneers backing this campaign which will highlight the importance of backing British Farming.

“Anything which can showcase British farming and farmers, not just for they food they produce, but for the value the British farming industry adds to the economy, employment and our beautiful and diverse countryside is a step in the right direction.”

Mr Raymond added: “The British public have told us time and time again that they want to buy British and we hope that this campaign will help them to increasingly have that option in the future.”

Credit:
awww.yorkshirepost.co.uk_webimage_7.39419.1394525238_21_image_e3565cb78e29554c6c0b0a37fb55f436.png

Ben Barnett


Read more: http://www.yorkshirepost.co.uk/news...r-longer-eustice-says-1-7552101#ixzz3qWhFCgW4
 

fudge

Member
Arable Farmer
Location
Lincolnshire.
so if you farm it yourself you have to pay the tax ?
Why not? Farming families could avoid this by granting a tenancy to independent business run by the younger generation. But the days of working farmers starting from scratch by buying land are surely over? Without a change in taxation new entrants have no chance. Why would an investor do anything other than choose the established farmers?
 

Pasty

Member
Location
Devon
All very well but the rules say that if you top it and let in on a 10 month license and do the hedges and fences, the owner gets the BPS and the rent as an 'active farmer'. So what's the point of a long term FBT unless it's £150-£200 an acre?

I'm as guilty as anyone as I do this. I've got an army of accountants and agents drawing up licenses which make me 'active' but in reality, it's the grazier who is actually farming it. I want to farm it but I can't afford to stock it at the mo. Maybe next year......
 

Henarar

Member
Livestock Farmer
Location
Somerset
Why not? Farming families could avoid this by granting a tenancy to independent business run by the younger generation. But the days of working farmers starting from scratch by buying land are surely over? Without a change in taxation new entrants have no chance. Why would an investor do anything other than choose the established farmers?
so if you struggle to buy a few acres like I have then you get taxed on it, well thanks very bloody much
 

JJT

Member
BASE UK Member
Location
Cumbria
Why not? Farming families could avoid this by granting a tenancy to independent business run by the younger generation. But the days of working farmers starting from scratch by buying land are surely over? Without a change in taxation new entrants have no chance. Why would an investor do anything other than choose the established farmers?
Just playing devils advocate, but Why is it so important to have new entrants?
 

gta123

Member
Location
Wales
I totally agree with this. I think its good someone is starting to think of the next generation because it seems the agricultural industry is going to crash and burn in a few years time if the average age of a farmer is considered to be an OAP now then that number will keep climbing if someone doesn't do anything drastic. Its impossible for a young person to borrow money the banks have done that after their mistakes in 2007 so the only way is to either inherit or rent a farm. If they inherit then the tax man will take it all and if they rent then they have to keep up with the payments, great habit to get into when the time comes to getting a mortage. The young persons scheme is one boost young people need. Lets face it at least they are contributing to the economy rather than cheating it through being unemployed and claiming for dozens of kids.
 

DrDunc

Member
Livestock Farmer
Location
Dunsyre
Squash all this right to buy stuff and watch longer tenancy`s become available.
It's been squashed repeatedly, and it was never anything at all to do with new tenancies anyway.

Longer tenancies will only become available when it makes more financially for the estate owner.

The current tax and farm subsidy system means that the landowner can make more income keeping land in hand, or at best for tenants, on a short term let.

They want to keep the current status quo, so perpetuate nonsense about right to buy as an excuse.
 

Hilly

Member
It's been squashed repeatedly, and it was never anything at all to do with new tenancies anyway.

Longer tenancies will only become available when it makes more financially for the estate owner.

The current tax and farm subsidy system means that the landowner can make more income keeping land in hand, or at best for tenants, on a short term let.

They want to keep the current status quo, so perpetuate nonsense about right to buy as an excuse.
They are not offering longer tenancy's because of the threat of right to buy, fact ! squash it once and for all and longer tenancy's will be offered, fact. It is not in a landlords interest financial or other wise to have to sort out or find a new tenant every five years nor is it for the tenant nor is it for the farm, the problem is the constant threat of right to buy.
 

fodderfarm

Member
Location
Herefordshire
Any industry needs new blood and farming is no different. Many many farmers sons ( & daughters) left the farming sector (me included) to pursue other work years ago on seeing there was no future or enough money to support us all. These returning "new entry farmers" ( in my case my dad died and the farm was sold) have skills from other sectors that are/may be very relevant to today's modern farming. All industry, businesses etc that are successful have a well balanced mix of age, skills, experience, farming is no different. I see people on here welcome new farmers and I see others knock them. The reps that visit farms on a daily basis with there new ideas, new practices, new technologies are all provided by companies who are ran as above, the farm is no different. For any business to be at its best it needs healthy competition to keep it in its toes. New entry farmers are not saying they know it all and can do better, there just coming from a different angle. We should applaud and help new farmers, especially with Rents and making sure they are long enough for the new entrant to commit. A mix of experience with new ideas and open eyes is always a good idea
 

DrDunc

Member
Livestock Farmer
Location
Dunsyre
That warning is a piece of propoganda from the Scottish land owners federation, it's not facts at all!

The land owners federation and land agents have a huge vested interest in keeping the current system. Short term lets, and seasonal grazings generate far greater rental income than long term tenancies.

They also don't require large inward investment to bring fixtures and fittings up to a standard that is fit for a reasonably competent individual to run their business, as required by law.

Although the tendering process for short term lets does generally incur a greater expenditure to land agents, this is far outweighed by the greater income.

Additionally, resuming tenanted land to be farmed in hand, or contracted out, is the current method of retaining the lucrative area subsidy, again without any substantial inward investment. This is further to the detriment of long term lets.

The right to buy was only ever considered for '91 secure tenancies. There was NEVER any "risk" to the estate owner of right to buy for long term lets.

The lack of long term lets is purely down to there being far more lucrative options available to estate owners.
 

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