Market in Minutes:
UK Farmland Market Q2 2015

UK Farmland Market - Q2
UK Farmland Market Q2

29 July 2015, words by Ian Bailey

Growth in arable values has steadied in some locations.

■ Farmland values in Great Britain increased by 0.2% during the first half of 2015, continuing their long-term trend although the rate of increase is slowing.

■ The market has become more finely balanced, with a greater range in farmland values than in the recent past, with prices very dependent on local supply and the number of potential buyers.

■ 5% more land was publicly marketed across Great Britain in the first half of 2015 compared with 2014 but this is 1% less than the five-year average. In England, there was 13% more for sale but 7% less in Scotland and over 50% less in Wales.

■ Non-farmer buyers have overtaken farmers as the main type of buyer, with the proportion of farmers falling slightly, due to weaker sentiment of some farmers due to lower current commodity prices. Farmer buyers are now at their lowest proportion since 2003.

■ However, the fundamentals of land ownership still remain secure and the medium term (five-year) outlook for commodity prices is relatively positive.

 
 
 

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Ian Bailey

Ian Bailey

Director
Rural Research

Savills Margaret Street

+44 (0) 207 299 3099

 

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