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Farming

Welcome evidence of longer farm tenancies

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THE TENANT FARMS ASSOCIATION has welcomed a report from the Central Association of Agricultural Valuers (CAAV) indicating that there has been a significant improvement in the average length of Farm Business Tenancies (FBTs) in England and Wales.

Since the introduction of FBTs in 1995 the TFA has been concerned that average lengths of term have ranged between only 3 to 4 years. As a result the TFA launched the FBT10+ campaign in 2015, the 20th anniversary of the introduction of the new legislation, to argue that farm tenancies had been too short for too long and that urgent change was necessary.

The short-term nature of agricultural tenancies has held back progression, investment, sustainable land use and productivity on farms. With much higher demand for land than supply, landlords can offer short-terms, for high rents at very little risk whilst at the same time pocketing generous and unconstrained tax benefits which the TFA argues must be addressed.

TFA Chief Executive George Dunn said: “It is encouraging to see from the CAAV report that the average length of all FBTs has increased to 4.5 years and that excluding lettings of less than a year, the average was six years. This is a step in the right direction towards the goal of seeing average lengths of term in excess of 10 years and clearly the TFA’s campaign has had an impact in encouraging more sustainable tenancy lengths being brought forward. However still more needs to be done to encourage the landlord sector to offer the longer terms that we need to see.”

“The new Government must grasp the nettle to introduce measures to change the fiscal environment within which rural landlords make decisions about letting land to encourage longer term FBTs. The tenanted sector cannot begin to consider issues of resilience and sustainability in the post Brexit environment with average lengths of term on new FBTs of under 10 years,” said Mr Dunn.

The TFA is arguing for the following measures to be in the new Government’s first Budget:

(a) Restricting the generous, 100% Agricultural Property Relief from Inheritance Tax (currently available to all agricultural landlords, regardless of the length of time for which they let land) only to those landlords prepared to let farmland for 10 years or more (excluding rotationally let land on short terms for vegetable and other high value crops).

(b) Clamping down on those land owners who, through schemes promoted by agents and accountants, are using share farming, contract farming, share partnerships and grazing licences as thin veneers of trading activity and as vehicles for aggressive tax avoidance where they take no risk in the business, have little, if any, entrepreneurial input and lack any management control.

(c) Offering landlords prepared to let farm land for 10 years or more the ability to declare their income as if it was trading income for taxation purposes.

(d) Reforming Stamp Duty Land Tax to end the discrimination against longer farm tenancies.

“The TFA is pleased to see that the Government has reconvened the Tenancy Reform Industry Group and this must be a key element for it to consider alongside other important measures to provide a sustainable framework for the tenanted sector of agriculture in the post Brexit era,” said Mr Dunn.

 

Business

Southern Roots Organics Felindre Farchog house plan approved

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PLANS for a rural enterprise dwelling to support a Pembrokeshire horticultural business which supplies its produce to “some of the best restaurants in Wales” have been approved despite concerns from the local community council.

In an application recommended for approval at the April 22 meeting of Pembrokeshire Coast National Park’s development management committee, Southern Roots Organics/Awen Organics, through agent Preseli Planning Ltd, sought permission for a rural enterprise dwelling, track extension, and associated works at Eithin Farm, Felindre Farchog, near Nevern.

This application was presented to the Development Management Committee as local community council Nevern had objected to the application raising material planning matters, contrary to the officer recommendation for approval.

An officer report says Eithin Farm comprises about 25 acres of agricultural land, with an additional seven acres to be rented by the applicants; the applicants running a horticultural business from the site, using multiple polytunnels and employing irrigation systems which require careful management.

The report says the business has been trading for over three years and can support a full-time worker, meeting criteria which addresses planning for sustainable rural communities. The proposal is said to meet these requirements, and the officer’s report confirms a genuine need for the dwelling.

Nevern, in its objection, said: “The living accommodation is supposed to be part of the business, it needs to be closer to the sheds, making the whole enterprise more aesthetically pleasing. The area designated for future seasonal agricultural workers would be an areas that would be more appropriate for a traditional cottage. A restriction on the house, a tied house needs to be considered.”

Objections to the plan have also been received from members of the public raising concerns including foul water disposal and the application “has nothing to do with the new current business”.

However, a number of representations have expressed support for the application. Issues raised include the benefit of applicants living on site, helping to reduce travel and carbon emissions, and confirming support for local, small-scale horticulture, and the contribution the business makes to the community.

The report said there is an identified need for a rural worker’s dwelling, especially due to the need to quickly respond to changes in crop conditions and potential failures in irrigation or ventilation systems, the proposal “considered to be acceptable and a recommendation to grant permission is made”.

Speaking at the meeting, Adam and Dee of Southern Roots Organics/Awen Organics said the business employed 14 workers, including themselves, “supplying some of the best restaurants in Wales,” with thousands of trees planted, the business also having been shortlisted for an organic farm award.

Members heard they currently had a 20-minute commute to the site from Cilgerran, often starting work at 5.30am and working through to as late as 10pm.

Members also heard that alternative locations, as favoured by Nevern Community Council, would lead to the loss of apple trees in an orchard.

Members backed the officer recommendation, committee member John Hogg praising the applicants on their achievements.

 

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Climate

Bid to turn Maidenwells field into garden is approved

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A CALL to change Pembrokeshire farmland to a garden and wildflower meadow has been given the go-ahead despite it falling under a condition restricting the loss of such agricultural land.

In an application recommended for approval at the April 21 meeting of Pembrokeshire County Council’s planning committee, Peter Jones sought permission for a change of use from agricultural land to garden, vegetable growing area and wildflower meadow/grove at Old Furzton Cottage, Maidenwells, near Pembroke.

The application was before committee members rather than being decided by officers under delegated powers as it was contrary to a policy of the development plan but was being recommended for approval.

An officer report for committee members said: “The proposal is for the change of use of the land to enable the agricultural field to be used for domestic purposes in conjunction with the dwelling known as Old Furzton Cottage. The land subject to this application is located outside of the curtilage of Old Furzton Cottage.

“Justification has been provided with the application to explain that the occupiers of the dwelling have a desire for a larger garden area to provide additional space for growing of fruit, salad and vegetables, tree planting and wildflower planting.”

One potential sticking point was the proposed site, some 0.4ha of land, falling into a Grade 3a agricultural land classification, defined as Best and Most Versatile (BMV) land, which has tight planning controls against its potential loss.

The report added: “The use of the land at present is for agricultural purposes including making of hay and grazing of livestock, as such the land is underused for agricultural purposes. The development subject to this application would enable some agricultural use to continue, with the production of food from the site.

“Further to this there would be a net benefit to green infrastructure and biodiversity on the site. For these reasons there is justification for the small loss of BMV land.”

At the meeting, committee chair Cllr Mark Carter read out a submission form the applicant, who was unable to attend the meeting, saying the land had been purchased from Pembrokeshire County Council with the intention of creating a low-intensity and environmentally sustainable form of development.

Local member Cllr Steve Alderman said his first concern had been the loss of the BMV land, but pointed out the proposal would offer “massive biodiversity increases,” moving approval.

Members unanimously backed approval of the scheme.

 

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Business

Pembrokeshire Roch BMV land horse menage plans allowed

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RETROSPECTIVE plans for a Pembrokeshire horse menage have been allowed despite being on land of a quality which normally precludes development.

In an application to Pembrokeshire Coast National Park, Grant and Kayli Goddard, through agent Preseli Planning Ltd, sought retrospective permission to retain a horse menage on land South of Ferny Glen, Roch, works having been completed last March.

A supporting statement said one of the complications to the application was a predictive agricultural land classification changing the grade of the land from 3b to 2 as part of the most recent predictive classification.

Planning Policy Wales states that agricultural land of grades 1, 2 and 3a of the Agricultural Land Classification, often known as Best and Most Versatile (BMV) land, should be conserved as a finite resource for the future and should only be developed if there is an overriding need for the development and either previously developed land or land in lower agricultural grades is unavailable.

The supporting statement says there were mitigating factors, the holding being a mixed use one of forestry, agriculture and equestrian use, and development elsewhere on-site would potentially give rise to loss of sensitive green infrastructure and significant levelling and excavation works.

It added: “There is a need for the development inherent with the location of the stables, but also a need for the applicant for the wellbeing and health benefits of family members. The applicant lives and works a short distance from the site and therefore the site is the most logical location and essentially the only location for the development.”

It also said the area of the land “is small and insignificant within the wider land holding and extent of agricultural land in the locality”.

An officer report recommending approval said, following an agricultural land classification (ALC) report, the Landscapes, Nature and Forestry department of Welsh Government had been consulted regarding agricultural land quality.

“The department comment that a detailed ALC field survey is not practical or representative for such a small area (<1.0ha) especially in retrospect as soils have been disturbed on site. The ALC report therefore cannot be accepted as an accurate reflection of the land quality.

“The Landscapes, Nature and Forestry department consider that due to the small area of potential predicted BMV (0.12ha), exceptionally in this case the Department does not recommend the application of BMV agricultural land policy.”

The application was conditionally approved.

 

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