New Report Outlines Urgent Recommendations for Governments and Industry to Support Next Generation of Farmers

At the Royal Welsh Show on Tuesday, the Farmers' Union of Wales (FUW) will launch its latest report,'A Mandate for Future Farmers' . The comprehensive document highlights the challenges facing young and new entrant farmers in Wales and sets out nearly 40 specific recommendations for the Welsh Government, UK Government, and the wider farming community to ensure a sustainable future for Welsh agriculture.

The report stresses the key importance of attracting and retaining young talent in farming for numerous reasons, including safeguarding food security, sustaining vibrant rural economies and communities, and ensuring the continuity of rural and land-management skills. All vital for ensuring Wales’ land can provide and adapt for future Welsh communities needs in challenging times.

However, the significant barriers preventing young people from entering and thriving in farming are highlighted in the report. Particular emphasis is placed on the ageing workforce, with the median age of the 'key decision maker' farmer in Wales being 61, and only 3% of 'head of holding' farmers under the age of 35.

Prohibitive land prices and access to finance are also identified as key challenges, with low incomes and inconsistent cash flow making it difficult for new and young entrants to secure funding for land purchase, or to prove financial security for rental opportunities and covering start-up costs. The report also cites growing competition for land from natural capital/carbon investors, forestry, lifestyle buyers, charities, other farmers, government bodies, and renewable energy developers.

Limited and insecure tenancies are another significant hurdle. The average length of term on new Farm Business Tenancies (FBTs) remains just over three years, with 80% of all new farm tenancy agreements let for five years or less, hindering long-term investment. The sale of County Council farms has also reduced available land, with the area of council land in Wales falling by 25% (13,000 hectares) in the last decade.

The report also identifies a significant lack of succession planning and/or willingness within the industry as a whole, with a recent report claiming 21% of farmers surveyed stated they did not intend to retire.

The FUW's 'Mandate for Future Farmers' proposes a multi-faceted approach to support the next generation of farmers, with specific asks for the Welsh and UK governments, and wider farming community.

For the Welsh Government, the FUW outlined calls for an option for quarterly Sustainable Farming Scheme (SFS) payments, prioritising new entrants and young farmers. It also advocates for a loan or guarantor option via the Development Bank of Wales to ease initial financial burdens, alongside higher capital cost contributions and upfront payments for new entrants and young farmers.

The report further advocates for reinstating the Agri Academy Rural Leadership Programme, supporting 'young' networking groups, implementing FUW's policy recommendations on SFS accessibility, Bovine TB eradication, and public procurement of Welsh produce. It also aims to enable joint applications from landlords and tenants within the SFS, encourage new and young entrants to invest in themselves, promote diverse career options in Welsh farming, support agricultural colleges, encourage efficiency savings through new technologies and reduced bureaucracy, and continue promoting Welsh food and drink products.

The document calls on the UK Government to reconsider its controversial changes to Agricultural Property Relief (APR), advocating that farming/agricultural assets should not be taxed when passed between farming generations, but rather at the point of sale if a generation decides to sell. It also urges the implementation of recommendations from the 2022 Rock Review (England's Tenancy Working Group) to encourage longer FBTs with rents reflecting productivity and return, not just land value.

The report also encourages existing farmers and landowners to provide tenancies as a key route into land access, offering longer-term and secure agreements, as well as 'trial' years. For Welsh farmers concerned about the next generation, it also suggests considering share farming, offering contract farming opportunities, joint ventures, or mentoring. Proactive succession planning is also identified as vital, utilising facilitators or Farming Connect support for business and legal advice. The Union also calls for helping local new and young farmers by lending machinery or equipment, and leasing livestock, and continuing to support Wales' Young Farmers' Clubs.

Commenting ahead of the launch of the report, Teleri Fielden, FUW Policy Officer said : "The future of Welsh agriculture, and indeed our ability to respond to wider challenges as a nation, hinges on our ability to support and empower the next generation.

"A Mandate for Future Farmers is a clear call to action for governments and the industry. We must remove the barriers, create genuine opportunities, and invest in the talent that will ensure our family farms continue to thrive for decades to come, providing food, managing biodiverse and climate resilient farms, and sustaining our rural communities."

Ian Rickman, FUW President added : "This report is more than just a list of recommendations; it's a blueprint for a resilient and thriving future for Welsh farming, ensuring that the heart of our rural communities continues to beat strong for generations to come."

The report will be launched at the FUW Pavilion at the Royal Welsh Show on Tuesday 22nd July at 11:15. FUW Policy Officer and new entrant, Teleri Fielden, will be presenting the report, joined by three members of the FUW's Younger Voice for Farming Committee who will share their firsthand experiences. Representatives from Wales YFC and Farming Connect will also provide their own insight and support available to new entrants and young farmers. A buffet and drinks reception on the balcony will follow the launch.