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Farm rents rise three per cent

Published: 19 Apr 2016 09:30

An Official Statistics Publication for Scotland.

The average cost of renting agricultural land has risen three per cent since last year, new figures show.

Scotland's Chief Statistician today released the latest figures on Tenanted Agricultural Land in Scotland.

Average rent for land was £39 per hectare in 2014/15 compared to £38 per hectare the previous year. The increase was seen in both the poorer-quality Less Favoured Area (LFA) land, which was up three per cent from £25 to £26 per hectare, and in the better quality land which rose by five per cent from £124 to £130 per hectare.

Since most rents are reviewed only every three years, this implies that, where there have been increases, they have been, on average, well above three per cent. Rent increases have been above inflation since 2008.

Rents were highest in Fife and the Lothians, with three quarters paying over £75 per hectare. They were lowest in Shetland and Na h-Eileanan Siar, where half of rents were less than £3 per hectare.

Analysis of the results of the Farm Accounts Survey suggest that there was no clear link between profitability and whether a farm is wholly owned or wholly rented.

The figures released today were produced by independent statistical staff, free from any political interference, in accordance with professional standards set out in the Code of Practice for Official Statistics.

Notes to editors

The full statistical publications can be accessed at:
www.gov.scot/stats/bulletins/01215

These statistics are used by government and stakeholders to monitor and assess the economic well-being of the agricultural sector and for policy evaluation, and as part of calculations of the total net income from farming as part of the National Accounts.

Further information on Agriculture and Fisheries statistics within Scotland can be accessed at:
http://www.scotland.gov.uk/Topics/Statistics/Browse/Agriculture-Fisheries

More information on the standards of official statistics in Scotland can be accessed at: www.scotland.gov.uk/Topics/Statistics/About