Buyers eye Suffolk’s prime farmland as prices return to all-time highs of mid 2010s

Prime Arable Land Prices Reach Highest Point Since 2014 in the East of England

Land agents at Savills have reported that prime arable land prices in the East of England have reached their highest point since the end of 2014. In the three months leading up to June this year, the average price for prime arable land was £10,758 per acre, representing a 1.8% increase from the previous quarter. This figure is also higher than the national average of £10,242 per acre, which has risen by 8.7% compared to the previous year.

Significance of Sustainable Development Goals (SDGs)

• SDG 1: No Poverty – The increase in land prices can contribute to reducing poverty by providing farmers with higher incomes and better livelihoods.
• SDG 2: Zero Hunger – The rise in land prices may incentivize farmers to invest in agricultural productivity and improve food security.
• SDG 8: Decent Work and Economic Growth – The demand for farmland creates employment opportunities in the agricultural sector.
• SDG 11: Sustainable Cities and Communities – The demand for environmental opportunities, such as poorer quality pasture land, aligns with sustainable land use practices.

Savills also highlighted that prime arable land remains the most valuable farmland asset in the region. However, there is also a high demand for poorer quality pasture land among buyers seeking environmental solutions and opportunities.

The average price for all types of farmland in the East of England, including pasture and arable land, was £9,890 per acre, making it the highest in the UK. This represents a 1.5% increase compared to the end of March this year and a significant 14.1% increase compared to June 2022.

Only the North of England recorded a higher average price for prime arable land at £11,272 per acre. The South of England and the South West had average prices of £10,605 and £10,351 per acre, respectively, during the last quarter.

Nationally, all types of farmland traded at an average price of £8,101 per acre in the three months leading up to June, marking a 10% increase compared to the previous year.

Impact on Sustainable Development Goals (SDGs)

• SDG 1: No Poverty – The increase in farmland prices can contribute to reducing poverty by providing farmers with higher incomes and better livelihoods.
• SDG 2: Zero Hunger – The rise in land prices may incentivize farmers to invest in agricultural productivity and improve food security.
• SDG 8: Decent Work and Economic Growth – The demand for farmland creates employment opportunities in the agricultural sector.
• SDG 11: Sustainable Cities and Communities – The demand for environmental opportunities aligns with sustainable land use practices.

William Hargreaves, the leader of Savills’ rural agency team in Suffolk, explained that well-equipped commercial farms and bare arable land are being sought after by buyers with capital gains rollover funds. This demand has supported the increase in land values, with some prices exceeding the current averages. The rising interest in environmental solutions and opportunities has also contributed to the increase in values for poorer quality pasture land.

So far, approximately 12,053 acres of land have been publicly marketed in the East of England, compared to 21,420 acres in the entirety of 2022. Across Great Britain, 85,400 acres of farmland were publicly marketed during the first six months of this year, representing a 16% increase compared to the same period in 2022.

Retirement and debt were identified as primary motivators for farm sales in the East of England. Some farmers are selling their farms due to a lack of successors or the next generation’s disinterest in farming. Additionally, rising interest rates have led to sales for farms and estates with a significant proportion of their value allocated to residential assets.

Mr. Hargreaves emphasized the importance of having the right marketing strategy, including flexible lotting and realistic guide prices, for new launches. However, properties in popular locations are still highly sought after, with deals being agreed upon within a few weeks of launch at prices exceeding the guide price.

SDGs, Targets, and Indicators Analysis

1. Which SDGs are addressed or connected to the issues highlighted in the article?

• SDG 1: No Poverty – The article mentions the rising prices of farmland, indicating economic development and potential reduction in poverty.
• SDG 2: Zero Hunger – The article discusses prime arable land, which is essential for agricultural production and food security.
• SDG 8: Decent Work and Economic Growth – The article mentions the demand for farmland and the competition among buyers, indicating economic growth and employment opportunities.
• SDG 11: Sustainable Cities and Communities – The article mentions the demand for environmental solutions and opportunities, indicating a focus on sustainable development.
• SDG 15: Life on Land – The article discusses the value of farmland, including arable land and pasture land, highlighting the importance of land resources and biodiversity.

2. What specific targets under those SDGs can be identified based on the article’s content?

• SDG 1.4: By 2030, ensure that all men and women, in particular, the poor and the vulnerable, have equal rights to economic resources, as well as access to basic services, ownership, and control over land and other forms of property.
• SDG 2.4: By 2030, ensure sustainable food production systems and implement resilient agricultural practices that increase productivity and production.
• SDG 8.10: Strengthen the capacity of domestic financial institutions to encourage and expand access to banking, insurance, and financial services for all.
• SDG 11.3: By 2030, enhance inclusive and sustainable urbanization and capacity for participatory, integrated, and sustainable human settlement planning and management in all countries.
• SDG 15.1: By 2020, ensure the conservation, restoration, and sustainable use of terrestrial and inland freshwater ecosystems and their services.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

• Indicator for SDG 1.4: Average price of farmland per acre.
• Indicator for SDG 2.4: Increase in agricultural productivity and production.
• Indicator for SDG 8.10: Demand for farmland and competition among buyers.
• Indicator for SDG 11.3: Increase in demand for environmental solutions and opportunities.
• Indicator for SDG 15.1: Conservation and sustainable use of farmland resources.

Table: SDGs, Targets, and Indicators

Behold! This splendid article springs forth from the wellspring of knowledge, shaped by a wondrous proprietary AI technology that delved into a vast ocean of data, illuminating the path towards the Sustainable Development Goals. Remember that all rights are reserved by SDG Investors LLC, empowering us to champion progress together.

Source: eadt.co.uk

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