Rural property management: all you need to know about environmental issues
Our experts help to reduce the stresses and costs involved with running rural property-based businesses. Here they focus on egg shortages, woodland, green grants and more.
5 minutes to read
From staff shortages to setting up cloud computing systems, from getting the compensation you deserve to cutting your energy bills, read on to discover some of the areas relating to People, Planet and Profit where we have been helping our clients recently.
Egg shortage – securing the future of shoots
The outbreak of bird flu across Europe has taken a significant toll on game farming in the UK. France has been particularly badly affected, with thousands of birds being culled earlier this year. As a result, the supply of both birds and eggs from France has become extremely limited, with the cost of importing them climbing significantly – if you can get them at all. It is now clear that due to a slight resurgence of the disease in some areas, coupled with the 90-day import ban regulations, no birds are likely to be available this season. France supplies approximately 50% of pheasant eggs and 80% of partridge eggs to the UK market. This, coupled with higher feed and fertiliser prices, energy price rises and general inflation, means that running a profitable shoot this season will be extremely challenging.
Over the long term, the sector must address issues of secure supply by becoming less reliant on imports. More immediately, we recommend landowners continue to be adaptable, positioning themselves to come back better next year. This includes reallocating staff no longer working on shoots. Most estates have continued to support their loyal staff and additional time means that shoot improvement works and other projects have moved up the agenda. This will provide stability to those staff affected and allow shoots to bring them back as soon as needed. Woodland management and what to do about crops ordered for shoots will also need to be addressed.
Those that have decided to continue this year have generally bred their own birds which may well become more fashionable in the future. However, demand remains strong generally, allowing commercial shoots to raise prices to cover some of their increased costs. For those that do shoot this year there may be some good benefits later in the season and in to the next.
John Williams, rural asset management
Woodland – make the most of your trees
The creation of new woodland has rightly been the focus of policymakers in recent years and it has been easy for landowners to look past some of the fantastic opportunities that existing woodlands have to offer.
European market prices for certain timber products are up 35% as a result of shortages across Europe. Felling or thinning unmanaged woodland creates an excellent opportunity to release value.
Even the poorest quality timber is highly sought after. The resulting revenues can be enough to replant trees, replace fencing or fund other diversification opportunities. Depending on location, that can include glamping. Staycations surged in popularity during the pandemic and the trend is showing few signs of waning.
To make a start, we recommend putting unmanaged woodland into a management plan. There are several grants available, which can be a great place to start building a valuable source of extra income.
Thomas Park, rural asset management
Green grants – renewables that work for you
Homeowners and landlords in England and Wales can now apply for a grant towards the cost of heating their homes using renewable energy. However, with only 90,000 grants available, we are advising people to act quickly as they are available on a first come, first served basis. The grants are £5,000 towards an air source heat pump or biomass boiler or £6,000 towards a ground source heat pump.
To qualify, the property must have an EPC containing no recommendations for loft or cavity wall insulation (you can insulate your home before applying for the scheme). If the home is a listed building, a supporting letter from a professional, such as a chartered surveyor, is required to qualify for an exemption.
Despite what some suppliers might say, there is no “one-size-fits-all” renewable energy system. What you choose to install will depend on your needs and those of your home and family. For example, if you have a large family wanting showers every day, some systems will be more appropriate than others. If you are planning to install a renewable energy system, I always recommend conducting other building work that you are considering at the same time to minimise disruption and, of course, cost.
James Carter-Brown, residential building consultancy
Regenerative agriculture – landlord/tenant solutions
Rifts are emerging between landlords and tenant farmers over conflicting desires to commit to regenerative agriculture or otherwise. Almost one-third of the UK’s 15 million acres of farmland is let to tenants, so this is a significant issue for the rural community.
Many tenancies have been drafted with a post-war production mindset, providing little room for tenants to manoeuvre. Equally, if a landlord believes their tenant has degraded the soil, there are few ways to compel them to embark on a new path.
Landlords are shifting to shorter-term tenancies to secure greater control over land or exploring options that include contract farming. Both have serious flaws and we are encouraging landowners to enter proper joint ventures with tenants in the form of share farming agreements.
Crucially, these agreements are formed of two farming entities. The landowner commonly enters the land into the agreement, and a tenant can put in, say, machinery and expertise. The parties attribute shares with profits distributed accordingly. In many cases, we find these progressive agreements adjust the incentives to keep both parties happy over the long term.
Alastair Paul, rural asset management