The amount of land for sale has gone up significantly in the past year but is still at historically low levels. However, prices are unlikely to be affected by the increased supply, according to Smiths Gore’s latest farmland price analysis.
The firm does not think prices have peaked. “Our farmland model suggests prices will continue to rise as the wider UK economy starts to grow again. But the main driver of the market remains the balance of demand and supply – supply has not yet grown enough to satisfy strong demand from farmers and non-farmers,” said head of farm agency, Giles Wordsworth. (Smiths Gore 01865 733302)