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29/01/08
The Tenant Farmers Association will be telling members at this
weeks Dairy Show at the Bath & West showground that they
should resist suggestions from landlords that dairy rents should
increase.
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TFA National Chairman, Reg Haydon said “Whilst there has
been an increase in prices paid to producers for their milk in
recent months, these have been already swallowed up in increased
costs not least energy, fertiliser, labour and dairy replacements.
Any landlord’s agent worth his salt will be considering very
carefully whether to pursue rent reviews on dairy holdings this
spring and coming autumn. It must also be remembered that the recent
improvement in prices comes after an extremely long spell where
tenant farmers in the dairy sector were having to live off their
limited capital”.
Landlords agents will however quote the value of the farmhouse
to the tenant making reference to rents achievable in the private
rented sector for residential tenancies.
“I am well aware that the rents on residential tenancies
are strong and in rural areas tend to be supported by commuters
or those with second homes earning their incomes in the big cities.
This is very different to the situation experienced by farm tenants.
The houses which they live in are part of a complete farm unit
let under a very different legislative code to residential tenancies
and often with very different repairing obligations. It is like
comparing chalk and cheese and we consider it bad practice when
landlords agents attempt to split out the value of the farmhouse
in rental negotiations,” said Mr Haydon.
“The Tenant Farmers Association is the most authoritative
voice on these matters and the best source of advice for tenants
approaching rent reviews. Our long-running rent databank, which
has been available to members for many years, is now available
in the members area of our website and provides a unique resource
to TFA members to benchmark their position against similar tenancies.
With the advice available from our Head Office, the TFA’s
Recommended Professionals and its market-leading insurance scheme
which covers the costs of potential rent review arbitrations, there
is nowhere better for tenant farmers to get their advice than from
the TFA”.
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