Shropshire Farming Talk: Land prices continue to rise

That's according to latest analysis with reported increases of between 1.6 per cent and 2 per cent between January and March 2023.

Farmland has long been seen as a sound long-term investment and, with the average price of arable land in England now reaching more than £10,500 per acre, competition has forced buyers to consider lower-quality land and woodland instead.

The first quarter of 2023 saw 16,700 acres launched across Britain, the most since 2016, and 30 per cent more than in the same period of 2022.

Why? Well, supply has been low and demand high which has encouraged many who weren’t intending to sell to consider doing so.

In addition, cuts in the Basic Payment Scheme and the opportunity to benefit from delinked basic payments after 2024, even having sold the land, have encouraged more to consider sale.

Having seen a relatively slow six months at the end of last year and early this year, the market in Shropshire, Staffordshire and South Cheshire has finally come to life.

In the last few weeks, we have agreed sales on a number of blocks of land and a farm – all of which were brought to a close by informal tender – or best and final offers – due to the high levels of interest and demand.

Such competitive bidding has resulted in the blocks selling for prices in excess of £15,000 per acre.

Whilst we cannot guarantee this price on all blocks of land, it is an indication of buyers’ determination to secure land particularly when it is in close proximity to their main holding.

For those who have missed out on buying this year so far – don’t panic.

The next opportunity may be just round the corner.

A number of farms and large blocks of land are expected to come to the market in the next few weeks.

If you are interested in securing a farm or land, contact our property team to be amongst the first to hear of our exciting new instructions.

Annabel Fearnall, Barbers Rural