NFU condemns Cheshire farms sell-off
Proposals to sell off county council-owned farms in Cheshire have prompted a strong reaction from the NFU.
Union deputy president Meurig Raymond wrote to Cheshire West and Chester Council to express regret at the county’s plan to sell 47 farms from its estate.
“The decision is bad news. Council holdings occupy a unique position in the tenanted sector. They provide an opportunity for people to enter the land-based economy who would not be able to do so, as starter farms are not usually available through other landlords,” Mr Raymond said.
“This reflects the role of a council in promoting enterprise and providing opportunities for people to enter business. They play a vital role in sustaining the rural economy of local communities and help local authorities obtain “best value” in the management of their assets.
“We recognise the need that the council has for raising capital and the budgetary pressures they are under but we feel that there are opportunities for the Council to raise this capital without the need to withdraw the provision of County Council Holdings,” Mr Raymond added.
But the county’s executive committee rejected the claims that farms were vital for new entrants and said returns were too poor to justify keeping them on.
The farms have been taken on by just “one or two” people a year and given the council an annual return of £250,000, or 0.8%, compared to 5-8% on other assets, a spokesman said.
The council said it could raise £31m from the sale of 4,600 acres which it will use to help rural businesses. Tenant farmers will get the first opportunity to buy at market prices.
Councillor Moore Dutton, corporate scrutiny chairman, said: “I believe that by utilising some of the tens of millions of pounds that are currently tied up in county farms we could create, or facilitate many more opportunities for rural business start ups.
“We could also invest in other ways that would make our rural areas more competitive and productive, like faster broadband and affordable housing.”
She added: “I believe that the number of people who could benefit from these opportunities would be many times greater and that many of those people would be country people.”
The farms will be sold off over the next 30 years to secure the maximum value.