FBT Advice

[Tim G]

Last year we agreed a new 5 year FBT on the farm (landlord doesn't like long term it seems). We have now been told he wants to take back an area of one field to start a campsite. I don't want to fall out over this however the point of us pushing to renew the tenancy was to give us a bit of security, it now feels like that doesn't mean anything. It's a good field which we have grown barley, kale and grass on (ie not pp) and the new boundary will make working the field difficult, along with access to the proposed campsite and the issues that will go with it. It sounds as though he'd like more of the field either now or in the future.

How should we handle this?

 

[Nearly]

Carefully.

If a fbt is over 7 years it has to be registered as a lease on the deeds.

 

[Goweresque]

You don't really have much choice, if you hope to continue farming the land after the current FBT is up. Stand on your rights and say no will mean you probably don't get offered a new FBT in 5 years time, swallow your pride and agree the changes and you probably will. That said a lot can change in 5 years given the current climate in farming, in 5 years time landlords may be desperate for tenants so any ill will created by a refusal now would be forgotten. Equally you might agree now and still not be offered a new FBT as there's a fortune to be made out of ELMS or some other climate mitigation type stuff.

As predicting the future is a mugs game, personally I'd try to just make the next 5 years as simple as possible, ask to mitigate the design problems so it causes you least hassle going forward, and also get some sort of written agreement from the landlord that this is the last piece of land that you will be asked to release for the period of the tenancy.

 

[farmerdan7618]

Last year we agreed a new 5 year FBT on the farm (landlord doesn't like long term it seems). We have now been told he wants to take back an area of one field to start a campsite. I don't want to fall out over this however the point of us pushing to renew the tenancy was to give us a bit of security, it now feels like that doesn't mean anything. It's a good field which we have grown barley, kale and grass on (ie not pp) and the new boundary will make working the field difficult, along with access to the proposed campsite and the issues that will go with it. It sounds as though he'd like more of the field either now or in the future.

How should we handle this?

Go in with a reasonable solution. Maybe suggest that field comes out of the FBT in full, and rent reduced accordingly, but you continue to farm the bit of the field that is left for a no cost rent with the view that it could become a campsite at any time. Keep the field in grass and a low input management style to minimise your costs on it.

 

[Woody]

Most agricultural tenancies will have clauses in them allowing the landlord to take back land for non agricultural use.

What does your agreement say?

 

[Sid]

Most agricultural tenancies will have clauses in them allowing the landlord to take back land for non agricultural use.

What does your agreement say?

Seen some with figures around 10%

 

[Lexion1000]

Let him have it and wish him luck with his new venture. You would have a bit of leverage to say you’ve lost the best bit of your best field and perhaps the rent should be dropped a little bit over the rest of it.

 

[organicguy]

Is there land he owns which could replace the land lost?

 

[Cows 'n grass]

Male sure they understand the cost to you but there's very little you can do. Being thought of as a helpful tenant will often help balance out losses like this when opportunities arrive in the future.

 

[yellow belly]

Work with the land lord and his agent
if you get known as awkward then future chances in the area will get harder
all agents and landowners check out future tenants

i have one block on fbt started as a 3 year fbt over 20 years ago still farming it
gave up one bit for allotments keeping in with the village the agent and the land lord

it only takes the owner or agent to say in passing that so and so is awkward for chance to be reduced

 

[Brisel]

Work with your landlord. You both want something out of this. Take professional advice to see what aces you have to play.

 

[Rossymons]

It sounds like he's probably going to take this piece of land either now (with an argument) or at the end (with a longer argument).

If it was me I would be expressing my concerns on how it would affect me and my enterprise. But try working with the guy and see what you could get out of it.

Also - try and keep the land agents out of it for now. All they're good for at this stage is sending snotty letters to one another. If you and your landlord can agree on something, shake hands on it only then get the Agents involved to finalise it all.

Best of luck!

 

[Brisel]

You don’t need to weigh in with the full formal paperwork at this stage, which is expensive and risks damaging the relationship, but you do need to know your position at the outset. I would have little doubt that the landlord will have taken proper advice.

 

[Tim G]

Thank you all, I won't be being difficult with them but think I may try and see what we can get from it. We have always allowed this sort of thing to happen but starting to feel like all the best bits are being cherry picked away.
My worry is that landlord is keen to press ahead with wildlife offers, the bit he is taking back would probably make it more difficult.

 

[solo]

Once you have both agreed what is going to happen I would send your landlord a letter/ email stating the new agreed situation and its terms, so you both have a written record of what has been agreed. Makes it much easier to deal with in future, if an issue arises relating to this matter.

 

[kfpben]

With your direct milk sales could you say ‘fine as long as I have the rights to supply all the milk’?