Lady Day rent settlements rocket
FARM rents settled at Lady Day this year rose by an average 22.1% to £47.97/acre, according to the latest Savills Farm Rent Survey.
Rents on livestock farms increased on average from £31.90/ acre to £39.99/acre, mainly due to the weak £, which strengthened the export market and boosted headage payments. "Also the value of the residential element has been a significant factor in the rental increases recorded on livestock farms," said Jim Ward, head of Savills Agricultural Research.
Benefiting from higher area aid and headage payments, mixed farm rents also increased – on average by 17.5% to £48.50/acre.
And after deregulation of the milk industry, landlords in this sector have enjoyed an average rent rise of 23.7% to £52.56/acre.
With the highest concentration of livestock and dairy farms, the average rent rise in the north-west area was 33.4%, followed by a 21.1% rise in Yorkshire and Humberside and a figure of only 12.6% in the East Midlands. • As most arable farms in the database are reviewed at Michael-mas, Lady Day reviews in this sector were not analysed. *