Market in Minutes:
UK Farmland Market Q3 2015

UK Farmland Market - Q3
UK Farmland Market Q3

21 October 2015

In the current market values achieved can be determined by a small number of buyers.

■ The softening in values across Great Britain of 0.7% between July and September 2015 hides a number of dynamics in the market.

■ Values in Scotland and Wales are relatively stable despite large changes in the amount of land for sale – up 23% in Scotland and down 29% in Wales.

■ In England, arable and livestock values are starting to weaken, partially due to a 10% increase in the amount of land for sale and partially due to continuing downward pressure on farm profitability from commodity prices. Prime arable values have weakened in the regions where they are highest, so this may be an equalisation of values across England.

■ We think we will see a greater variation in both demand and values than in the last five years, when demand exceeded supply so much it drove prices up. Values will greatly depend on location, farmhouses and amenity. In this market, still with little land for sale, values can be determined by a small number of buyers.

 
 
 

Key contacts

Ian Bailey

Ian Bailey

Director
Rural Research

Savills Margaret Street

+44 (0) 207 299 3099

 

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