Tenant Farming

Debate between Nusrat Ghani and Scott Mann

Tuesday 10th May 2016 Westminster Hall

[Nusrat Ghani (Wealden) (Con)]

I beg to move,

That this House has considered tenant farming.

It is a great pleasure to serve under your chairmanship, Mr Hollobone. I am grateful for the opportunity to lead this debate.

As hon. Members know, tenant farming is an agricultural system in which a landowner contributes land and perhaps some capital and management, and the tenant contributes labour and the remaining capital and management. It is an important part of the agricultural industry. In my county of East Sussex, it is estimated that there are more than 35,000 hectares of tenanted land. One in three farms throughout the country are tenanted, and between 20,000 and 25,000 farmers are wholly or mostly reliant on tenanted land.

Two organisations fight the corner of tenant farmers—the Tenant Farmers Association, whose national chairman, Stephen Wyrill, is in the Public Gallery, and the National Farmers Union. I thank both for their assistance in preparing for this debate. The Government are also proud to fight the corner of tenant farmers. They have a proud record of putting in place policies to help the farming community. I want to note two in particular: first, my right hon. Friend the Chancellor’s announcement that farmers will be able to average their income over two to five years for tax purposes, which is very welcome and helps rural businesses to survive in difficult seasons; and, secondly, the recent decision by the Department for Environment, Food and Rural Affairs to agree to move forward on recommendations to draw up a mental health strategy for the farming industry in Britain. Farmers can face immense strain, as they have to contend with the difficulties of business and climate, and they often work very long hours in isolation. It is right that proactive measures are put in place to ensure their mental wellbeing as they cope with those pressures. I congratulate the hon. Member for Upper Bann (David Simpson) on his leadership on that issue.

There is always more to do, and that is the case with tenant farming in particular. Over the past couple of years, one theme that has emerged consistently in my discussions with tenant farmers across Wealden and the organisations that represent them is the length and security of tenancies. The Agricultural Tenancies Act 1995 introduced farm business tenancies to the industry. The measure marked perhaps the most comprehensive deregulation of the agricultural let sector in its long history. Farm business tenancies are extremely widespread, although there is scepticism in the industry about whether they have helped or hindered. High rents, limited security, stretching repairing obligations, which are key to keeping businesses thriving, and other liabilities are commonplace and do little to limit the stress and instability that naturally come with farming.

The majority of tenancies run for fewer than five years, and independent surveys report that the average is less than four years. That does not give tenant farmers the security they wish for.

[Scott Mann (North Cornwall) (Con)]

Does my hon. Friend agree that agricultural landlords should develop lasting relationships with tenant farmers through long-term flexible tenancy agreements in areas such as North Cornwall and Wealden?