IT IS still too early to say if last year‘s reform of farm tenancies in Scotland will be a success, says one land agent.
The Agriculture Holdings Bill (Scotland) passed into law in March 2003, and introduced two new types of farm tenancy.
Short Term Limited Duration Tenancies run for a maximum of five years and Limited Duration Tenancies operate for a minimum of 15 years.
The new tenancy agreements took effect from Nov 27, 2003, and were hailed by Scotland‘s farm minister Ross Finnie as a step forward.
“The Bill will provide new opportunities to reinvigorate the tenanted farm sector,” he said.
Charles Dudgeon, director of FPD Savills in Edinburgh said there was little farmland to let in Scotland at the moment.
“But that could be due to the uncertainties over the introduction of the single farm payment next year as much as the two new forms of tenancy agreement.
“There has been very little action in the letting market in Scotland in the past 12 months and people are tending to sit tight and wait and see what happens,” he said.