The Tenant Farmers Association (TFA) has warned the Government not to use the establishment of a new Tenant Farming Forum to push much needed change in the landlord tenant sector of agriculture into the long grass.

The establishment of the new Forum is the central plank of the Government’s response to the Rock Review report, from the Tenancy Working Group, chaired by Baroness Kate Rock.

TFA Chief Executive, and member of the Tenancy Working Group, George Dunn, said “The last thing we need is a review of the review. The Rock Review report with its 74 main recommendations hangs together as a coherent narrative. The report comprehensively addresses the issues identified by Government at the time it called the Rock Review together including in respect of productivity, resilience, enhancing natural capital, food security and providing opportunities for new entrants. If the 74 answers provided to Government by this expert group don’t add up to the right approach for Government to take, I fail to understand what will.”

“From the outset, the new Forum must be about implementation rather than going over the arguments already considered by the Rock Review. It needs to oversee the route to establishing a Tenant Farming Commissioner, informing the terms of reference for a Law Commission investigation into changes in legislation and making sure that in DEFRA’s design of new environmental land management schemes, tenant farmers have fair access,” said Mr Dunn.

A significant conclusion of the Rock Review was to highlight the power imbalance that exists in landlord tenant relationships which can and does lead to bad practice within the sector.

“It is good news that the Government has taken this on board and is keen to ensure that tenant farmers do not feel bullied and abused by seeking to establish a new code of practice to govern relationships and to set out standards of expected behaviour for all parties. I welcome the willingness of the Royal Institution of Chartered Surveyors (RICS) to coordinate the drafting of that code of practice which will speak powerfully to its own the land agency community. The TFA looks forward to working constructively with the RICS in pulling together this much needed code and finding easier to use mechanisms for tenants to complain when they are treated badly by agents employed by landlords.”

By far the biggest and most important outcome of the Rock Review so far was the decision by the Treasury to consult on changes to the taxation environment within which land tenure decisions are made. This consultation was announced at the time of the spring Budget and aims to encourage longer, more resilient tenancy agreements by restricting the valuable agricultural property relief from inheritance tax available to landlords only to those prepared to let for eight years or more.

“The TFA considers that this consultation is of the utmost importance and commends the Treasury for bringing it forward so quickly. No doubt there will be opposition from groups representing landlords, landlords’ agents and some accountants who will want to perpetuate the status quo. However, for too long we have seen agricultural tenancies offered on a much too short term basis. With the average length of term on farm business tenancies now only three years and with nearly 90% of all new tenancies let for five years or less, the taxation changes proposed by the Treasury are vital,” said Mr Dunn.

“Overall, it is disappointing that DEFRA has backed away from taking the radical but proportionate approach set out by the Rock Review to truly revitalise the tenanted sector of agriculture. However, much will now depend on the strength, focus, purpose and acumen of the new Tenant Farming Forum. Careful consideration will need to be given to its membership to avoid it simply being a rerun of the old Tenancy Reform Industry Group that it will replace. It must combine members who are there to represent the interests of landlords and tenants within the sector and add to that specific practitioners with a willingness to engage to deliver real change in the sector rather than just the perpetuation of the status quo”.