Land values have increased by almost 12% this year, according to property firm Savills’ latest Farmland Value Survey.

In England, the average value of all types of farmland is now almost £3200/acre, more than 60% higher than at the start of 2004. Scottish land rose 13.5% in the first six months of the year to average £2500/acre.

Strong demand from all types of buyer and relatively low supply were behind the hike, said the firm’s head of rural research Ian Bailey.

About 113,000 acres of land were put up for sale across Britain, a 1% decrease on the year.

Farmer buying activity remained constant at about 50% of transactions handled by Savills, but the proportion of properties sold by farmers dropped from 60% to 56%.