Is there any demand for BPS entitlements now?

[holwellcourtfarm]

We find ourselves in the position of having spare entitlements we can no longer use this year. It's there any demand for them now with the value of BPS tapering off?

Presumably they will fall in value to nothing by 2027 but what are they worth now?

 

[Bruce Almighty]

We find ourselves in the position of having spare entitlements we can no longer use this year. It's there any demand for them now with the value of BPS tapering off?

Presumably they will fall in value to nothing by 2027 but what are they worth now?

Try Townsends in Exeter or Ian Potter in Derbyshire

 

[Mixedupfarmer]

We find ourselves in the position of having spare entitlements we can no longer use this year. It's there any demand for them now with the value of BPS tapering off?

Presumably they will fall in value to nothing by 2027 but what are they worth now?

Can you not claim on them this year and next, but then get paid on them when decoupled 2024 on?

 

[holwellcourtfarm]

Can you not claim on them this year and next, but then get paid on them when decoupled 2024 on?

Sold the land. New can't claim.

 

[Horn&corn]

I need a few. Unsure of market value

 

[beardy]

I should need an extra 25 this year.
Would be interested if you had a price.

 

[ploughman1963]

I need a couple of acres worth (I’m embarrassed to ask for such a small amount) - PM me.

 

[holwellcourtfarm]

I'll check what we've got to sell later and put up on here. If anyone would like to PM me an offer I'll get it all sorted and transfer this month.

Thanks to @Bruce Almighty for pointing me to Townsend chartered surveyors. Their website has this useful report on trading last year to guide what's a fair price (allowing, of course, for the taper this year). https://townsendcharteredsurveyors.co.uk/wp-content/uploads/2022/01/2021-UK-MARKET-REPORT.pdf

Clearly the income potential is higher for those whose claim is below the £30k limit as their reduction is lower.....

 

[BenAdamsAgri]

Current Townsend price for non-sda is 185

 

[holwellcourtfarm]

Looks like I've got 27 units to sell.....

 

[beef 1]

I am gonna need about 70 if everything goes to plan . But thats a big if and the price they are worth is a bigger IF

 

[Goweresque]

I've enquired today to my land agent regarding selling some entitlements I have left over from a business thats ended trading, and apparently there's a decent demand for entitlements at the moment, he's got several clients on the books looking for fairly large amounts, so if you have some spare now might be the time the cash them in.

 

[Frank-the-Wool]

I've enquired today to my land agent regarding selling some entitlements I have left over from a business thats ended trading, and apparently there's a decent demand for entitlements at the moment, he's got several clients on the books looking for fairly large amounts, so if you have some spare now might be the time the cash them in.

I heard a similar story yesterday but am at a loss as to why there should be such demand when the value is reducing so much now.
Or is it that now it is likely that the entitlements will still be needed as the BPS will come back in another form!!!

 

[Horn&corn]

I heard a similar story yesterday but am at a loss as to why there should be such demand when the value is reducing so much now.
Or is it that now it is likely that the entitlements will still be needed as the BPS will come back in another form!!!

For a farmer retiring it’s a no brainier to buy them and cash it in

 

[BenAdamsAgri]

I heard a similar story yesterday but am at a loss as to why there should be such demand when the value is reducing so much now.
Or is it that now it is likely that the entitlements will still be needed as the BPS will come back in another form!!!

They will be effectively useless as of 2023 as BPS becomes de linked in 2024

 

[Mixedupfarmer]

They will be effectively useless as of 2023 as BPS becomes de linked in 2024

Presumably you would still get paid for holding them up until 2027, albeit not a vast amount, and not linked to land? Maybe some demand currently for tenants taking up the retirement scheme where they have to give entitlements back to landlord so could buy in to transfer to landlord and cash in existing entitlements?

 

[BenAdamsAgri]

Presumably you would still get paid for holding them up until 2027, albeit not a vast amount, and not linked to land? Maybe some demand currently for tenants taking up the retirement scheme where they have to give entitlements back to landlord so could buy in to transfer to landlord and cash in existing entitlements?

No as of 2024 you don't need and land or entitlements to claim.
Also when doing the lump sum entitlements are effectively 'destroyed'

 

[Mixedupfarmer]

So from 2024-7 how are you going to get paid the remainder of the bps without holding entitlements?
If a tenant had a tenancy with say 150 entitlements, and wished to take the exit scheme money and retire, but the tenancy stipulated he had to return the entitlements to the landlord at the end of the tenancy, could he buy an additional 150 entitlements now, and transfer them back to the landlord before submitting his application for the exit scheme on the original entitlements?

 

[BenAdamsAgri]

So from 2024-7 how are you going to get paid the remainder of the bps without holding entitlements?
If a tenant had a tenancy with say 150 entitlements, and wished to take the exit scheme money and retire, but the tenancy stipulated he had to return the entitlements to the landlord at the end of the tenancy, could he buy an additional 150 entitlements now, and transfer them back to the landlord before submitting his application for the exit scheme on the original entitlements?

You get paid on an average of what you claimed for 2020/2021/2022
I don't know 100%, sounds correct but best to talk with landlord and defra/rpa first

 

[Mixedupfarmer]

You get paid on an average of what you claimed for 2020/2021/2022
I don't know 100%, sounds correct but best to talk with landlord and defra/rpa first

Not my position, just looking for reasons entitlements are in demand