Average pasture and arable land prices fell slightly during the second quarter, although demand remains strong for high-quality farms and land with development potential.

FARMLAND values across Wales softened slightly during the second quarter of 2026 as higher costs and economic uncertainty continued to weigh on the agricultural sector.

The latest Farmland Market Update from property consultancy Carter Jonas found that average pasture land values fell by 0.4% during the quarter to £7,750 an acre.

Average arable land values declined by 0.3% to £9,467 an acre.

Compared with the same period last year, arable land values were down 2.4%, while pasture land values had fallen by 1.9%.

The figures suggest a gradual cooling of the market following the sustained growth recorded between 2021 and 2024.

However, Carter Jonas said the headline figures did not tell the full story because a significant number of farmland transactions continued to take place privately and away from the open market.

Demand also remains strong for high-quality, well-located farms, larger commercial units and land offering investment or development potential.

Hugh O’Donnell, rural partner at Carter Jonas, said: “The volume of farmland brought to market has been lower in the first half of the year, but acreage alone only tells part of the story.

“We continue to see a significant number of transactions taking place, underlining the ongoing appeal of well-located, high-quality farmland as a long-term investment.

“Buyer demand remains resilient, but understanding local market conditions and having access to off-market opportunities is increasingly important in a more selective market.”

The modest decline in values comes during a challenging period for farming businesses, with elevated input costs and volatile commodity prices continuing to squeeze profit margins.

These pressures have reduced the purchasing power of farmers seeking to expand their holdings.

Carter Jonas said there had nevertheless been some positive economic and policy developments during recent months.

Inflation fell from 3.3% in March to 2.8% in April and May, while the reopening of SFI26, the relaunch of Capital Grants and publication of the Farming Roadmap had provided greater clarity for parts of the sector.

Uncertainty remains, however, over the longer-term direction of agricultural support and future government spending and taxation policies.

Sophie Davidson, research associate at Carter Jonas, said the arrival of a new Prime Minister had introduced another element of uncertainty.

She said: “While it is unlikely to trigger significant short-term changes to agricultural policy, the potential for shifts in spending priorities, taxation and rural policy direction may encourage a ‘wait and see’ approach among some vendors and purchasers.”

Ms Davidson added that the strongest parts of the market continued to perform well despite a smaller and increasingly selective pool of buyers.

“Larger commercial farming units and investment opportunities remain scarce and continue to attract strong interest, while strategically located land with development potential is also seeing robust demand,” she said.

“What we’re seeing is a selective market where targeted demand continues to support values despite a thinner buyer pool.”

Pasture and arable values fall slightly amid uncertainty over taxation, agricultural policy and rural spending

FARMLAND values in Wales have softened for the second consecutive quarter, although demand remains strong for high-quality farms, development land and larger commercial holdings.

The latest Farmland Market Update from property consultancy Carter Jonas shows that the average value of Welsh pasture land fell by 0.4% during the second quarter of 2026 to £7,750 an acre.

Average arable land values declined by 0.3% to £9,467 an acre.

Compared with the same period last year, arable land values are now 2.4% lower, while pasture land prices have fallen by 1.9%.

The figures suggest the Welsh farmland market is cooling gently following several years of sustained price growth between 2021 and 2024.

However, Carter Jonas said the published figures did not reveal the full extent of activity, as a significant proportion of farmland transactions were taking place privately and without being openly advertised.

The consultancy said fewer farms and parcels of land had been publicly brought to market during the first half of the year, while buyers had become more selective about location, land quality and commercial potential.

Hugh O’Donnell, rural partner at Carter Jonas, said: “The volume of farmland brought to market has been lower in the first half of the year, but acreage alone only tells part of the story.

“We continue to see a significant number of transactions taking place, underlining the ongoing appeal of well-located, high-quality farmland as a long-term investment.

“Buyer demand remains resilient, but understanding local market conditions and having access to off-market opportunities is increasingly important in a more selective market.”

The report comes as Welsh farmers continue to face uncertainty over agricultural support, succession planning, inheritance tax changes and the future direction of rural policy.

Carter Jonas said the appointment of a new Prime Minister had added another element of uncertainty for buyers and sellers considering major transactions.

Sophie Davidson, research associate at Carter Jonas, said: “While it is unlikely to trigger significant short-term changes to agricultural policy, the potential for shifts in spending priorities, taxation and rural policy direction may encourage a ‘wait and see’ approach among some vendors and purchasers.”

Despite the modest fall in average values, demand remains strong for land offering clear agricultural, investment or strategic benefits.

Larger commercial farms remain scarce and continue to attract significant interest, while land close to towns and villages, or with potential for housing, renewable energy or other development, is also commanding attention.

Ms Davidson added: “Strategically located land with development potential is seeing robust demand.

“What we’re seeing is a selective market where targeted demand continues to support values despite a thinner buyer pool.”

New purpose-built facility will provide round-the-clock livestock care, faster diagnostics and expanded services for farmers

Pembrokeshire Farm Vets has opened a new £236,000 veterinary practice at the Pembrokeshire County Showground in Haverfordwest.

The purpose-built, 2,000-square-foot facility replaces the practice’s former portacabin at the site and has been designed exclusively for livestock and farm veterinary work.

The investment will allow the practice to expand its services while continuing to provide 24-hour emergency care to farmers across Pembrokeshire and neighbouring areas.

Facilities include dedicated clinical and diagnostic spaces, a specialist laboratory, a medicines store and a purpose-built lambing room.

The laboratory is equipped with an Ovacyte system for carrying out faecal worm and fluke egg counts, a Mastatest machine for analysing milk samples and equipment for in-house blood testing.

Faecal egg count results can be available within 15 minutes, allowing farmers to receive prompt advice on whether treatment is required.

An on-site Registered Animal Medicines Adviser can also help farmers select appropriate treatments and reduce unnecessary medicine use.

The new lambing room includes a hydraulic lambing table, holding pens and a roller shutter entrance, providing improved facilities for both routine and emergency lambing work.

Services offered by the practice include dairy herd visits, flock and herd health planning, bull fertility testing, pregnancy diagnosis, mastitis investigations, youngstock management, nutritional advice, TB testing and export certification.

The team also provides veterinary support for goats and smallholders, as well as a number of farmer-focused schemes including its Flock Health Club, Smallholder Club, Spring Fertility Package and Growing Calf Package.

A comprehensive range of medicines and agricultural products will be stocked at the site, including vaccines, wormers, fly repellents, oral fluid therapy products, marker sprays and other everyday farm supplies.

The practice said products would be competitively priced, with a price-matching service also available. An online shop offers delivery across the UK.

The Haverfordwest facility will be staffed by a seven-strong farm team, including vets Alex, Alice, Rose and Ruben.

They will be supported by Mark, who oversees medicines and special offers, and reception staff Emma and Melanie.

Pembrokeshire Farm Vets currently works with almost 200 farms and is accepting new clients, including dairy businesses, sheep farms and smallholders.

Clinical director Alice Davies said: “We are incredibly proud to open this new facility for the Pembrokeshire farming community.

“This building represents a major investment in local agriculture and allows us to deliver the standard of care our clients deserve, with better equipment, faster diagnostics and more space for practical support.

“Our team is passionate about helping farmers meet the challenges of modern livestock production, and this new practice will enable us to support even more farms, 24 hours a day, across the county.”

Pembrokeshire Farm Vets launched in April 2023 and provides livestock veterinary services across Pembrokeshire and other parts of south-west Wales.

The practice is based at Unit 15, Pembrokeshire County Showground, Withybush Road, Haverfordwest, and is open from 8:00am until 5:00pm, Monday to Friday.