The Rural Bulletin 23 June 2017

A summary of the latest news and issues affecting rural landowners and businesses brought to you by Knight Frank.
2 minutes to read
Categories: Agriculture

Michal Gove new head of Defra following Theresa May reshuffle

The appointment of the Tory big hitter to head up DEFRA has received a cautious welcome from the farming industry. In the run up to the Brexit referendum vote last year, Mr Gove, a strong “leave” campaigner, pledged that farmers would still receive the same level of government support after leaving the EU, that there would be less red tape and that a seasonal workers scheme would be introduced. However, he also said that leaving the EU was an opportunity for UK consumers to access cheaper food from abroad. 

A further General Election development that could potentially benefit farmers is Theresa May’s new reliance on Northern Ireland’s DUP party. The DUP is likely to push policies that support agriculture and is particularly keen to ensure there is no reintroduction of a hard border between Northern Ireland and the Republic.

Arable farm incomes forecast to rise, according to new research

The latest update from farm business consultant Andersons predicts that arable profits will rise in 2017. A more favourable exchange rate could boost the pre-subsidy farming margin on its 600ha model combinable farm from a loss of £73/ha in 2016 to £38/ha. Looking further ahead, the consultant says that farming margins will vary widely depending on the UK’s post-Brexit level of access to EU markets. 

Farmer arrested for spreading slurry near ravers

The perils of taking the law into your own hands was highlighted recently when a farmer asked his neighbour to spread some manure near a group of ravers who had invaded his land. Far from siding with the landowner, the police promptly arrested the neighbour, although he was later released without charge.

AHDB releases new Brexit grains guide

A new report from the AHDB says that UK cereal farmers need to be more productive, develop better supply chain relationships, be more competitive and sell a more consistent product if they are to cope with life after Brexit. The report also highlighted 10 key new markets for UK grain that could have growth potential post Brexit, although UK wheat and barley faces strong competition from maize grown in other countries, it noted. Read the report here.  

If you are a rural property owner or business and would like further information on any of the issues touched upon, or need advice on any other matters our Rural Consultancy Team is here to help.