STAGS has seen the average value of land in the South-West increase by nearly two-thirds in the past ten years.

Stags Farm Agency has always collated and analysed data from the farms and land it has sold in the West Country and in 2009 it created a more detailed database.

Stags has sold 37,339 acres of farms and land in the past ten years with 200 farms and 1,325 land lots sold.

In the same period the company has seen the value of land in the region increase from £5,216 an acre in 2009 to £8,594 an acre to the end of 2018 – an increase of 64 per cent.

The firm has seen land prices in Devon increase by 57 per cent, Cornwall by 73 per cent, Somerset by 57 per cent and in Dorset by 70 per cent.

This substantial growth was particularly strong from 2010-13 with an increase of more than 10 per cent each year.

Land values since the vote to leave the European Union in 2016 have fluctuated. Stags’ statistics show that year saw a three per cent increase across the West Country, in 2017 a two per cent fall and in 2018 a four per cent increase.

The 2016 transactions were probably for sales agreed before the referendum while 2017 transactions were for sales agreed from June 2016 onwards, some of which would have completed in early 2017 when caution would have prevailed due to uncertainty over future trade and farm support.

Last year saw an increase in land values probably due to a combination of constrained land supply and farmers taking the opportunity to purchase adjoining or nearby land where this suited their future business plans, with most taking a longer term view.

Stags farm agent George Alder said: “Over the next few years we are likely to see the most significant changes to the British agricultural industry in two generations and this could result in a similar market to that of 2018 which saw a constrained land supply resulting in a stable land market, with certain locations where demand outweighed supply resulting in land price increase.

“On the flip side there will be some areas where demand is lower and land lots take longer to sell for the expected price.

“On a positive note, a common trend is that buyers are taking a long term view in securing farm and land purchases to safeguard the future of their businesses by expanding their holdings.”

For advice on land and farm values contact Mr Alder on 01392 680059, Andrew Dodds on 01769 572263 or Andrew Ranson on 01872 264488.