Dont be caught out on Lady Day

By Farmers Weekly staff

FARM business tenancies do not end automatically when they have run their set term.

With Lady Day approaching fast, solicitor Graham Smith, of Lincs-based Roythorne & Co, warns that some tenants could end up making costly mistakes.

Unless notice to quit or notice of a rent review is served a year before the end of the term, FBTs of more then two years will run on for a further year at the prevailing rent, he explains.

Some tenants who paid high rents to secure land on FBTs a few years ago will now want to reduce that rent or even quit the holding at the end of the term, says Mr Smith.