Many landowners in Mid Wales and Shropshire face losing the ability to gain possession of their own land, affecting its value and having tax personal implications, a local property agent has warned.
In recent months several landowners in the area have found tenants of agricultural land have established secure tenancies of land due to the time they have rented from a landowner.
It means tenants who have been given continued use of land are able to claim a right to the land for an indefinite period. In one case, a Mid Wales estate that let land 30 years ago no longer has direct possession of their own land.
“It’s becoming an increasing issue and has a significant impact not only on the landowner’s ability to take possession of their land back, but it affects their tax liability and the values of the land,” said Tony Evans, a partner at Morris, Marshall and Poole, one of the region’s most established estate and land agents.
“Landowners need to think carefully about the type of farm tenancy they are entering into with a tenant. Without such careful thought it can have a significant long term impact on the landowner both financially and through the ability to gain full possession of the land.”
Mr Evans urged landowners considering farm or land tenancies to talk to a professional advisor first.
“We have seen several such cases lately and it is worrying. But it’s often too late once such agreements are made without professional advice.” More details can be found at www.morrismarshall.co.uk or by calling one of the agricultural team at MMP on 01686 626160 or 01938 554818.