Farmers Guradian
Topics
Nine ways to keep your farm vehicles safe

Nine ways to keep your farm vehicles safe

Arable Farming Magazine

Arable Farming Magazine

Dairy Farmer Magazine

Dairy Farmer Magazine

British Farming Awards

CropTec

New to Farmers Guardian?
Register Now
Login or Register
New to Farmers Guardian?
Register Now
New to Farmers Guardian?
Register Now

You are viewing your 1 free article

Register now to receive 2 free articles every 7 days
Already a Member?

Login | Join us now

Landlords unfairly jacking up farm tenants’ costs as rent reviews loom

Landlords have been jacking up rents for farm tenants by unfairly comparing them to ‘exorbitant’ payments elsewhere in the market, according to the Tenant Farmers’ Association (TFA).


Abi   Kay

Twitter Facebook
Abi   Kay
Twitter Facebook
Share This

Landlords unfairly jacking up tenants’ costs as rent reviews loom

The group has called on landlords not to push for rent hikes this autumn as the traditional date for farm rent reviews, September 29, approaches.

 

George Dunn, the TFA’s chief executive, said: “We are beginning to see an alarming number of cases where landlords are seeking to raise farm rents, particularly on tenancies let as Farm Business Tenancies (FBTs) which have open market rent formulas.

 

“Too often we see existing operators taking on additional land on FBTs at exorbitant levels of rent, with apparent scant regard for the economics involved, and landlords are choosing to use these rent levels as comparable for existing situations.

 

“Landlords need to realise these levels of rent are unsustainable, and in order to preserve good landlord-tenant relationships, which ensure tenants are able to pay rent and make a profit while farming in sympathy with the land, pursuing these increases must stop.”

 

Brexit

 

Mr Dunn has also suggested tenants and landlords take the opportunity to work together to secure longer tenancies which take account of the uncertainty surrounding Brexit.

 

To give all parties confidence about the future, he said rent reviews should be built in after Brexit when there would be more clarity on trade, Government policy, regulation and access to labour.

 

“Rather than spending tens of thousands of pounds in professional fees arguing over the level of rent, it would be better if landlords and tenants sat down to agree a longer-term strategy which incorporates Brexit in rent levels”, Mr Dunn added.

 

This is not the first time the TFA has raised concerns about unsustainable rents. In April, the group blamed unfair hikes for a widespread breakdown in landlord-tenant relationships.


Read More

Farmers to benefit from longer tenancies, says George Eustice Farmers to benefit from longer tenancies, says George Eustice
Opinion: George Dunn, chief executive of the Tenant Farmers Association Opinion: George Dunn, chief executive of the Tenant Farmers Association
Tenant farmers set to deliver ambitious conservation plan from the National Trust Tenant farmers set to deliver ambitious conservation plan from the National Trust
TFA launches Responsible Landlord Scheme to improve tenant-landlord relationships TFA launches Responsible Landlord Scheme to improve tenant-landlord relationships
TOP TIPS: 10 ways tenants can prepare themselves for Brexit TOP TIPS: 10 ways tenants can prepare themselves for Brexit

TFA’s tips for tenants dealing with rent reviews

  • Take advice before agreeing to any rent
  • Do not feel pressured to agree to an increase just because negotiations have been left until the last minute
  • Remember, whatever is settled this year will generally be set for a minimum of three years
  • Do not worry if the landlord’s agent applies to appoint an arbitrator. This does not necessarily mean the dispute will end in a hearing, it means the period of time allowed for negotiation can be extended if both parties are sensible
Twitter Facebook
Post a Comment
To see comments and join in the conversation please log in.
Facebook
Twitter
RSS
Facebook
Twitter
RSS