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FC Wales smooths passage to important woodland

With its fascinating historical features, enchanting scenery and strong links to the end of the last major ice age, i Parkwood on the Gower is a popular tourist location. Forestry Commission Wales has stepped in to ensure a smoother passage into this environmental jewel after the Welsh Government woodland became the victim of its own alluring beauty. The road allowing access to the site of special scientific interest (SSSI) was showing signs of serious wear and tear, with badly pot-holed areas testifying to Parkwood’s popularity.

 
Saffery Champness comment on CAP Reform announcement

Commenting on the announcement on CAP Reform by EU Farm Minister, Dacian Ciolos, Andrew Arnott, a partner of  Saffery Champness Landed Estates & Rural Business Group says: “There was not much in the announcement that had not already been leaked. However, it confirms the intention to distribute subsidies more evenly by way of a cap on payments to farmers at 300,000 euros (£261,240) per year.  A progressive levy, to be applied on all payments exceeding 150,000 euros (£130,620), was also announced as a proposal. Assuming that the proposals will be approved by both the EU parliament and all member states, this will be bad news for many large arable farmers and some medium scale farming businesses, including those in the uplands.It remains to be seen whether the ‘sustainable and inclusive growth’ for European agriculture can really be achieved through these proposals.  I think they could, as they stand, have the opposite effect, acting as a disincentive to invest for farm businesses that are highly-mechanised with lower staffing levels”.

 
Leaked proposals for the reform of CAP entitlements

News has recently been leaked from the European Commission that farmers who claim more than €150,000 from the direct support element of the CAP (Pillar1), will see their entitlement payments progressively capped.  Commenting on the leaked proposals Mike Harrison, a partner of Saffery Champness Landed Estates & Rural Business Group, says: “There is a strongly worded proposal for progressive cuts in the entitlement payments above €150,000 ( £127,000) with a cap of €300,000 (£255,000)”.   Whilst the new regulations will apparently incorporate an allowance which reflects the farm’s wages bill, which is welcome news and should mean that both larger and smaller farms are treated equally, there will be a discrimination for those using external contractors

 

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Home Rural agency Knight Frank says farmland values have increased 164% in 10 years
Knight Frank says farmland values have increased 164% in 10 years PDF Print E-mail
Written by John Vaughan   
Friday, 05 February 2010 18:37

 Andrew Shirley of Knight Frank Rural Research

Over the past ten years the Knight Frank Farmland Index recorded a 164% increase in English farmland values from £1944/acre to £5,123/acre. This is especially impressive as the growth for prime residential property in Central London was a “mere” 113%, whilst the FTSE 100 share index ended the decade 22% down. As a capital asset things have turned out very well for farmland, and perhaps much better than anyone would have anticipated. But what does the future hold?

Farmland values are not exempt from threats - uncertainty of political change and the end of the current Single Payment Scheme in 2012 are both issues that may have an impact. Land ownership may, for example, become less enticing if there are changes to Agricultural Property Relief (APR) legislation that, in many circumstances, currently provides 100% relief from inheritance tax on farmland and residential property that is integral to the farming business.
Does Knight Frank predict that prices will continue to grow at the same rate this decade? Although farmland values in excess of £10,000/acre are certainly not inconceivable, caution should be used when estimating the future value of individual blocks of farmland. Prices are likely to become more regionalised and not necessarily in line with the land’s agricultural productivity value as demand from other uses, such as renewable energy, increases.

Taking expert advice will be vital and valuers and land agents must consider all angles when analysing estate and farm resources for valuation or management purposes.

 
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