Demand for farmland increases in UK.
More people would be interested in acquiring farmland today.
The number of people looking to buy farmland so they can manage it and enhance biodiversity or generate carbon credits is increasing, according to land and property specialists Strutt & Parker.
Analysis of Strutt & Parker’s Farmland Database, which records the details of all publicly traded farms, estates, and blocks of farmland in England over 100 acres in size, shows that while farmers follow As the largest buyers of agricultural land, non-farmers play an increasingly important role in the market.
The share of farms bought by farmers has dropped to 52%, which is its lowest level since the Strutt & Parker survey began more than 20 years ago. In contrast, the share bought by lifestyle buyers and private investors has risen to its highest level, accounting for 47%.
“There are more and more green investors.”
Strutt & Parker Farm Agency and Farm Director Matthew Sudlow said: “One of the most notable developments in the market in recent months has been the increased demand from green investors looking for alternative uses of the land to food production”
He added: “They still represent a very small subset of the market, but it looks like that share is going to grow. We now receive phone calls almost daily from buyers interested in purchasing land for environmental management, with plans that include tree planting, reforestation, and other carbon offset and conservation projects. Interestingly, these buyers are starting to kick in in the lowlands of England, as well as in the highlands. The growth of investment in environmental land is a trend that we are also seeing in Scotland and Wales.”
The 47% bought by lifestyle investors and private investors include investors who buy land for privacy and entertainment reasons, those who see land as a safe asset in which to store their wealth, and people who have made capital gains from the sale of land for development and development wants to transfer funds. Non-farmers are now the main type of buyer in the South East and South West of England.
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