Aug 17 2015

STFA SIGNALS GREEN LIGHT FOR LAND REFORM BILL

Scottish Tenant Farmers

News Release

18^th August 2015

STFA SIGNALS GREEN LIGHT FOR LAND REFORM BILL

 In submitting evidence to the draft Land Reform Bill, the Scottish Tenant Farmers Association has signalled its support for the general principles and the objectives of the draft Bill. STFA also welcomes the Scottish Government’s commitment to view land and tenancy reform as an ongoing process rather than a one stop shop and sees the establishment of a Land Commission and a Tenant Farming Commissioner as key its success.

 STFA has been lobbying for substantial changes to tenancy legislation over the past decade and is pleased to see many of these reforms in the bill; the creation of a Tenant Farming Commissioner, a fairer rent system, proper recognition of tenants’ improvements and enhanced succession rights. However, there are some gaps in the Bill which we hope will be addressed at Stage Two such as measures to encourage retirement by ensuring fairer end of tenancy compensation and the creation of assignation opportunities to allow new entrants and others climbing the farming ladder access to secure tenure.

 Commenting on the bill, STFA Chairman Christopher Nicholson said: “There has been a great deal of debate over the proposed Land Reform Bill, many think the proposals don’t go far enough, others object because they fear it goes too far. However, in reality, the bill is a diluted version of some of the Land Reform Review Group’ recommendations and there is little in the Bill that that responsible landowners or land managers should fear, despite the rhetoric of landed interests. The Scottish Government has been very cautious in is approach and ensured that all measures are ECHR compliant.

 “However, human rights should not be seen the exclusive preserve of landowners and STFA is pleased that the Bill proposes to widen the range of relatives allowed to succeed into the family tenancy. This will safeguard the investment made by generations of the same family in the tenanted farm and help reverse the steady erosion of tenants’ property rights since security of tenure was granted in 1948.

 “The Bill recognises the value of secure tenure and the need to maintain secure tenancies as a reliable and long term model of land tenure. STFA would like to see access to secure tenure widened and believes that the initial proposal to open access to secure tenancies to non-family through assignation should be reconsidered at Stage Two.

 “The Bill has, however, failed to address the difficulties tenants can experience in receiving fair compensation for their improvements at the end of their tenancy. Firstly, STFA has reiterated its proposal to create a double notice to quit procedure so that the tenant is not forced to leave the holding before compensation has been agreed and secondly STFA proposes that all improvements should be eligible for compensation, as long as they increase the capital value of the holding. This would cover improvements to houses, environmental and conservation works and so on which are not at present part of the compensation mix. These are important issues for all tenant farmers and STFA hopes they will be addressed at stage Two of the bill.

 “STFA welcomes the forthcoming debate over agricultural holdings section of the Land Reform Bill and commends the Scottish Government in taking the lead with tenancy reform. 12 years of engagement in the Tenant Farming Forum produced little bar stalemate and STFA now looks forward to working with other stakeholders, the Scottish Government and the RACCE Committee to strengthen the bill as it passes through the parliament and bring much needed change to the land tenure structure in Scotland.”

Read STFA’s submission here

By tfadmin • Uncategorized •

Jun 23 2015

Land and Tenancy Commission key to success of Land Reform Proposals

Scottish Tenant Farmers

News Release

23^rd June 2015

Land and Tenancy Commission key to success of Land Reform Proposals

The Scottish Tenant Farmers Association has greeted today’s publication of the Land Reform Bill as a small step on a long journey of land and tenancy reform. STFA has welcomed the bill’s proposals to strengthen the position of tenants on traditional secure leases by creating a fairer system of reviewing rents, extending succession rights and recognising the need for proper end of tenancy compensation. STFA is also pleased to see the inclusion of a Tenant Farming Commissioner as part of the Land Commission to regulate and encourage standards of good behaviour between landlords and tenant.

 However, STFA is disappointed that the Bill has rejected proposals which would have done much to address and reverse core issues in the steadily diminishing tenanted sector. The ability to freely assign 1991 secure tenancies has been excluded and the Bill has omitted any resolution to the plight of Small Landholders currently stuck with leases held under anachronistic legislation drawn up over a century ago in 1911. As the bill stands there is very little help for new entrants, limited partnership tenants whose leases have been terminated, or any positive measures to bring more land to the letting market.

 Commenting on the Bill, STFA Chairman Christopher Nicholson said: “From a land reform perspective this Bill is a welcome start to the process of modernising the land tenure structure in Scotland. The creation of a Land Commission and the land rights and responsibilities statement should send a clear message that land reform is an ongoing process with much to be done in the years to come. The establishment of a Tenant Farming Commissioner with statutory codes of practice will be key in ensuring that breaches can be effectively dealt with and disputes kept to a minimum.

 The tenanted sector has been in a state of steady decline and stagnation over the last few decades, a consequence of the CAP regime and monopolies in land ownership and land management within Scotland. Whilst proposals to extent succession and retirement provisions may slow down the decline in secure tenancies and is welcome news for existing tenants allowing farms to remain within families and, the bill falls short on any provision for new entrants, now an endangered species. Recent CAP reforms have made matters worse by triggering an unprecedented land and subsidy grab by landowners seeking to capitalise on the move to an area based support regime. These recent land clearances highlight the difficulties in balancing the wider public interest with the interests of landowning individuals and trusts.

 The fallout from the Salvesen Riddell case and fears of ECHR challenges seem to have limited the original scope of the bill. Tenants will be disappointed at the omission of the AHLRG’s original proposals for open assignation for 1991 tenancies which would have provided solutions for many of the sector’s problems; preserving secure tenancies, opening up opportunities for new farmers and breaking the investment impasse by encouraging ongoing investment in tenanted farms. These socio-economic benefits to rural communities and food production now seem to play second fiddle to the preservation of property rights.

 “We will be using the next few weeks to meet with MSPs and consult with our members to ensure that the proposed land and tenancy reforms create the necessary conditions to encourage tenant farmers in their business of producing food and drink and fulfilling their obligations to deliver benefits to the environment. As always the detail of the Bill will need to be scrutinised and we have already identified some anomalies and omissions which will have to be discussed and considered with the RACCE Committee.

By tfadmin • Uncategorized •

Jun 4 2015

APPOINTMENT OF NEW INTERIM ADVISER ON TENANT FARMING

News Release

Scottish Tenant Farmers Association

4^th June 2015

APPOINTMENT OF NEW INTERIM ADVISER ON TENANT FARMING

 STFA has welcomed today’s announcement of the appointment of Andrew Thin to the newly created post of Independent Adviser on Tenant Farming.  This appointment will be a short-term interim measure to bridge the gap before a permanent Tenant Farming Commissioner with statutory powers can be appointed.

 Commenting on the appointment STFA chairman Christopher Nicholson said: “We are pleased that Cabinet Secretary Richard Lochhead has listened to industry concerns and started to implement recommendations of the AGLRG.  The industry has acknowledged the need for an independent ombudsmen or commissioner to see fair play in the sector and act as an interface between landlords and their tenants and we welcome this as a first step towards the establishment of a permanent commissioner with statutory powers.

“Andrew Thin is already well-known to the tenanted sector and as a member of the Agricultural Holdings Legislation Review Group is well equipped to fulfil the role of independent adviser to the Cabinet Secretary whilst liaising with stakeholders in guiding the sector, creating codes of practice and helping resolve disputes as they arise.

“There is bound to be uncertainty over the next couple of years until the new reforms become law and it is important that interim measures are put in place to advise and guide the industry as well as keeping a watchful eye on what is going on. Relationships between landlords and tenants may well become fraught as the bill makes its way through parliament and this appointment help will help create confidence and revive some of the industry initiatives which were in danger of floundering.

“It is also important that Andrew is able to intervene in disputes and provide strong leadership when engaging with stakeholders.  Ten years of the TFF and the difficulty in making any headway in rectifying the defaults of the legislation and resolving disputes has been a salutary experience.  Therefore news that the interim Adviser on Tenant Farming is an independent appointment responsible directly to the Cabinet Secretary is most welcome.  We look forward to working with Andrew Thin in his new role and have already identified a number of issues for his immediate attention.”

By tfadmin • Uncategorized •

May 19 2015

Daily Telegraph’s attack on land reform plans “simply preposterous”

News Release

Scottish Tenant Farmers Association

 19^th May 2015

Daily Telegraph’s attack on land reform plans “simply preposterous”

The Scottish Tenant Farmers Association has branded today’s claims in the Daily Telegraph that the SNP’s land and tenancy reform plans put at risk Scotland’s family farms and food production as simply preposterous.

Commenting on the article by the Telegraph’s Scottish correspondent, Simon Johnson, STFA Chairman Christopher Nicholson said; “The tone of this article shows an unhealthy bias and a lack of understanding of land and tenancy reform in Scotland.  Today’s publication is nothing more than political scaremongering, obviously timed to coincide with Land Reform Minister, Aileen Mcleod’s address to the Scottish Lands and Estates’ annual conference in Edinburgh.

“Family farms are the back bone of Scottish agriculture and have been core to the rationale for reform.  The current land and tenancy reform proposals will only serve to strengthen family farming businesses.  The review of tenancy legislation over the last 18 months has been thorough and evidence based, resulting in much needed recommendations which should form part of the Land Reform Bill.  Key to the tenancy review has been the need to increase tenant’s ability to invest in their holdings and ensure that tenancy legislation is reformed to enable tenants to remain competitive in an industry with ever increasing fixed capital requirements.

“Mr Johnson’s assertion that the Scottish Government’s land reform proposals will put Scotland’s food production at risk has no basis in fact and relies on RICS’ views which run counter to progressive thinking on land and tenancy reform in Scotland and are not shared by many of their members, especially those who represent tenant farmers.  The Daily Telegraph may describe RICS as impartial, but anyone who took the time to look through the RICS submission and the RACCE report of their evidence session with RICS would come to a different conclusion.

“Scotland’s land and tenancy reform is about getting the best out of the Scotland’s land and the people who occupy it.  Land and tenancy reform is long overdue, and Scotland now has an opportunity to modernise large parts of our rural landscape which are locked in a feudal time warp no longer fit for purposes of modern agriculture and the wider rural community.”

To view Telegraph Article: http://www.telegraph.co.uk/news/politics/SNP/11614062/SNP-land-reforms-forget-about-food-production.html

By tfadmin • Uncategorized •

May 15 2015

TENANTS WELCOME COMMITTEE’S GREEN LIGHT TO TENANCY REFORM

Scottish Tenant Farmers Association

News Release

 13^th May 2015

TENANTS WELCOME COMMITTEE’S GREEN LIGHT TO TENANCY REFORM

 The Scottish Tenant Farmers Association has described the Scottish Parliament’s RACCE Committee’s letter to the Cabinet Secretary expressing its views on the Agricultural Holdings Legislation Review Group’s final report as a welcome and important milestone in the long journey to reform Scotland’s tenanted sector.

In setting out its thinking, the RACCE committee has given its support and backing to the AHLRG’s 49 recommendations for change, but has recognised that the detail in many of the proposed changes will need further consideration.

In response to the RACCE Committee’s views STFA Chairman Christopher Nicholson said; “Tenants will be pleased to hear that long awaited reforms to the tenanted sector have now received the green light from the Rural Affairs Committee and are on track to proceed through the parliamentary process to become law.  STFA has campaigned for fundamental change to tenancy laws for the last decade and has been fully committed to the recent review process.  Although there will be disappointment that some of the proposed measures do not go far enough, most of the AHLRG recommendations have been lobbied for by STFA.

“STFA is pleased that the committee has recognised the need for a Tenancy Commissioner with statutory powers to enforce codes of practice underpinned by statute.  We view this as a vital ingredient to regulate the sector and to encourage better relationships between landlords and tenants.  In giving evidence to the committee six weeks ago, the Cabinet Secretary announced his intention to appoint an interim independent adviser to encourage positive working relationships between stakeholders.  However, it is disappointing that this has not yet taken place, and there is a danger that some of the initiatives to resolve outstanding issues may flounder unless an independent adviser is put in place immediately.

“STFA also welcomes the RACCE Committee’s recommendation that the Scottish Government gives further consideration to extending assignation proposals to allow similar rights of assignation to different types of tenancy.  STFA continues to believe that open assignation of 1991 tenancies has the potential to revitalise the tenanted sector not only by giving increased confidence to existing tenants but also by opening opportunities to make secure tenancies available to new tenants as they ascend the farming ladder.  Open assignation was a major plank of the AHLRG review until the latter stages of the final report.  We firmly believe that further consideration should be given to its introduction and that balancing measures could be put in place to safeguard the rights of tenants and landlords.  STFA agree with the RACCE Committee’s view that the AHLRG’s recommendations on investment should not be considered as a panacea for tenants that currently have difficulty raising finance, though we believe that the issue would be helped by extending assignation proposals for secure tenancies.

“STFA commends the RACCE Committee on its positive response to the agricultural holdings review and looks forward to working with the Committee in bringing forward a new Agricultural Holdings Bill.  There will be much work to do in getting the detail right but we agree with the general direction of travel.  STFA also agrees with the Committee that all stakeholders should look to the common good and strive to make positive contributions to reforming the tenancy sector.  Scaremongering assertions that some proposals may give rise to potential claims against the Scottish Government are unhelpful and destructive and will only hinder progress.”

By tfadmin • Uncategorized •

May 15 2015

FARMERS UNITE TO LOBBY GOVERNMENT ON SEASONAL RENTS SCANDAL

News Release

 Scottish Tenant Farmers Association

 22nd April 2015

FARMERS UNITE TO LOBBY GOVERNMENT ON SEASONAL RENTS SCANDAL

 Scotland’s main farming organisations have joined forces to write to Cabinet Secretary Richard Lochhead to urgently seek a meeting to discuss the industry’s continuing concerns over the potential damage that could be caused by the lack of robust activity requirement which allows non-producing landowners to claim Basic Payment Scheme (BPS) support payments on seasonally let land.

 The joint approach from the Scottish Tenant Farmers Association,  NFU Scotland, the National Sheep Association Scotland and the Scottish Beef Cattle Association, follows numerous calls from farmers to each of the organisations expressing frustration and disappointment as they face disruption to their businesses caused by the loss of grass lets and/or BPS and LFASS payments on seasonal grazing land.

 Commenting on the initiative STFA Chairman Christopher Nicholson said: “Seasonal lets represent about 15% of the tenanted sector and the movement of public support payments away from active farmers will have a serious impact on the livestock producers who rely on seasonal grazings.

 “There is also growing concern amongst tenants with limited duration tenancies (limited partnerships, SLDTs and LDTs) due to end in the next few years who can see that this behaviour of non-active landowners claiming support payments reduces the chances of non-secure tenants being able to renew viable long term leases for the future.

 “We are receiving calls for tenants and owner-occupiers from the length and breadth of Scotland who are facing disruption and uncertainty.  The hardest hit are likely to be hill farmers, where increasing support payments provide a strong incentive for non-active landowners to make claims for support.  While this is good news to the non-active, it is damaging to the active farming businesses who face the loss of BPS support and LFASS payments, putting at risk fragile hill livestock production.

 “We would like to discuss with the Cabinet Secretary ways to build in more robust and stricter activity criteria to ensure that only genuinely active farmers are able to draw down Basic Payment Scheme payments.”

 Speaking on behalf of NFUS Allan Bowie said: “The new CAP direct support payments should go to those actively farming the land.   Support should be there to underpin productive businesses not simply a reward for owning land.   As soon as the decision was made in Europe to move away from payments linked to production people who have animals but not control of the land are at risk of losing support payments.

 “We are concerned by the situation facing many of our members who are now losing access to land that they previously farmed.   We will continue to work with the Scottish Government to close the loopholes in the EU regulations that tie support only to land rather than to farming and production.

“Our members need to know that the rules on activity have been pushed to the limits and that the barriers introduced against slipper farming are going to be effective.   The principle of support being targeted at those taking on the risks that are inherent in farming the land is embedded in the European regulations.   Allowing the active farmer to use the land to claim support payments upholds that principle while any grab for entitlements risks damaging and undermining agricultural production in Scotland.”

 George Milne, regional manager NSA Scotland said, “The outcome of this is totally against the original principles and policies of the Scottish Government who have always said that the genuine active farmer, the person looking after the livestock, should receive the payments.”

 Commenting for the Scottish Beef Cattle Association Chairman Scott Henderson said that he wholeheartedly supported the joint initiative and looked forward to meeting with the Cabinet Secretary at the earliest opportunity.

By tfadmin • Uncategorized •

May 15 2015

Small Landholder Act Surveys are closing on 20 May.

By tfadmin • Uncategorized •

Apr 15 2015

Farm payment application extension

Farm payment application extension

Farmers and crofters will have an extra month to complete form.

By tfadmin • Uncategorized •

Apr 15 2015

STFA CALLS ON GOVERNMENT TO STOP CREATION OF A NEW GENERATION OF SLIPPER FARMERS

News Release

 Scottish Tenant Farmers Association

 9^th April 2015

STFA CALLS ON GOVERNMENT TO STOP CREATION OF A NEW GENERATION OF SLIPPER FARMERS

 The Scottish Tenant Farmers Association is calling on the Scottish Government to take action to prevent the creation of another generation of slipper farmers.  Concerns expressed by STFA over the robustness of the activity rules have been vindicated by recent evidence of a subsidy grab as landowners seek to maximise potential income from CAP payments.

Commenting on the situation, STFA Chairman Christopher Nicholson said: “ We have been receiving an unprecedented amount of calls over the last week or so from tenants and owner occupiers who are facing the loss of grass lets and/or single farm payment on seasonal grazing land to allow landowners to claim the payments themselves.

“Although there are some cases where agreements have been made between landlord and tenant balancing single farm payment claims and rent, there are many more where the grazing tenant faces loss of grazing and/or single farm payment without consultation or warning.  This is obviously deeply disruptive to businesses with some farmers having to make alternative last minute arrangements for grazing their livestock whilst facing a loss of income.

“Many hill farmers who have traditionally rented hill grazings on an annual basis will be even harder hit.  The new CAP regime, which will see some hill farmers receive substantial increases in their single farm payment, is encouraging landlords to take possession of the area payments on the land.  This will be even more appealing to the landowner if the tenant continues to rent the land, often for the same rent, providing the necessary farming activity.  Whilst this represents a bonanza for some landlords it is deeply damaging for the tenants who will face serious losses of single farm and LFASS payments putting hill farming on the cusp of viability.

“What is galling for so many farmers in this situation, is that landowners are acting on the advice of consultants and land agents who, before the ink is dry on new regulations, have been working hard to finds ways to exploit them rather than trying to help make the system work smoothly and target much needed support to those who deserve it instead of helping to create another generation of slipper farmers.

“With seasonal grazings representing nearly 15% of let land, this abuse of support payments will cause a severe leakage of land and public money to the undeserving and will have a serious impact on the livestock sector.  This issue cannot be deflected by a no can do attitude on behalf of the government and must not be swept under the carpet.”

By tfadmin • Uncategorized •

Apr 1 2015

TENANCY ADVISOR GOOD NEWS FOR INDUSTRY

News Release

Scottish Tenant Farmers Association

stfa@tfascotland.org.uk

1st April 2015

 TENANCY ADVISOR GOOD NEWS FOR INDUSTRY

 The Scottish Tenant Farmers Association welcomes the Cabinet Secretary’s announcement of his intention to appoint an independent tenancy advisor as an interim measure until legislation can be brought forward to establish a Tenant Farming Commissioner with statutory powers.

Commenting on the announcement STFA chairman Christopher Nicholson said: “The news of the impending appointment of an independent advisor to the tenanted sector is timely as we head into the parliamentary process of reforming tenancy law.  This announcement follows hard on the heels of reports that the Cabinet has agreed to introduce the Land Reform Bill before the summer recess.  The confirmation today, that an Agricultural Holdings Bill will form part of the Land Reform Bill, has now signalled the firing of the starting gun on land and tenancy reform.

“STFA is pleased that calls for a tenancy commissioner from all major stakeholders are being heeded.  There is bound to be uncertainty over the next couple of years until the new reforms become law and it is important that interim measures are put in place to advise and guide the industry as well as keep a watchful eye on what is going on.  It is also sensible for the embryonic commissioner to work with the three main stakeholders, STFA, NFUS and SL&E, rather than trying to recreate the TFF which included ancillary bodies representing professional advisors.  After all, it should be those who rent out land and those who rent in land who make the decisions, not their advisors, many of whom appear to be totally out of step with the views of the farming industry.

“We are also pleased that the Cabinet Secretary has indicated that the Tenant Farming Commissioner will have statutory powers.  We believe that this will be a necessary ingredient to ensure that the office of Commissioner will be able to enforce codes of practice and impose sanctions where necessary.  We believe that a firm hand will be needed to ensure fair play during the transitional period before new tenancy legislation is enacted in a year’s time.

“Scotland’s landowners have already said that they will oppose some of the AHLRG’s recommendations and the evidence led by SL&E to the RACCE committee last week warning that the Scottish Government will be potentially liable to pay landowners multi-million pound compensation if they implement some of these measures can only be seen as intimidatory and threatening.

“The RACCE committee and the Cabinet Secretary are right to view the ECHR opinion obtained by SL&E with scepticism.  Smiths Gore’s calculation of the Scottish Government’s potential liability for in excess of £600 million is also unreliable.  It is, by their own admission, based on weak data, using comparisons from another country and is at best a “guess-timate”.  These threats do landowners no favours and only serve to harden hearts. SL&E’s time and money would be better spent waiting for government lawyers to sort the legal niceties and the draftsmen to produce the legislation before issuing dire warnings.

“STFA is, however, disappointed that the Cabinet Secretary seems to be ruling out open assignation of 1991 tenancies.  We continue to believe that this is a mistake and will continue to lobby for open assignation to be included in the legislation. “

By tfadmin • Uncategorized •