What will the end of agricultural subsidies mean?
Land use in the UK is undergoing a major review and will result in seismic change due to the redefining of agricultural policy, and the global focus on climate change and biodiversity loss.
The results of a recent survey of Savills rural professionals sheds some light on what might happen to land as a result of the withdrawal of direct support payments. The findings are reported in the recently published Spotlight – Future of Land Occupation.
The volume of farmland coming to the market is predicted to be higher than recorded during the past few years as farmers retire and businesses restructure.
For private landowners our professionals expect their top recommendation to be joint venture agreements, such as a contract farming or share farming agreement. A joint venture where executed correctly, with the landowner actively farming and bearing risk, should protect the asset from inheritance tax liability under the present taxation regime.
Rhydian Scurlock-Jones, rural director at Savills in the West Midlands
