The future of horticulture is not necessarily high tech and high cost. While controlled environment horticulture’s dedication to efficiency produces obvious benefits in food production, input costs and sustainability, allotments and small-scale field horticulture deliver the yields in social capital; namely education and health.

Allotments can also offer benefits to the landowners providing them, both economic and beyond. Some landowners may shy away from the idea of allotments due to the perception of complex management and permanence. In doing so, they neglect the opportunity to engage with the local community. Any management challenge can be handled through modification of the offering; whether allotments are let individually or to an association, as large plots or small.

The value of allotments

Data from the Association for Public Service Excellence (APSE) suggests the annual rent charged by local authorities for an allotment plot can vary from less than £20 to more than £70 per year.

In 2021-22, more than 50% charged over £50 per year. Allotments are not always a profitable endeavour, however a Savills survey managed within the Rural and Projects business revealed the majority of landowners are committed to continuing to offer plots to the local community.

The overwhelming reason for this (50% of responses) was recognition by the landowner of the social and community benefit that often accompanies the offering of allotments. Other reasons to retain allotment sites included them being a core part of the estate or a diversification of the property portfolio.

The nature of the plots offered within a given site varies significantly, something that is likely to be determined by the size and shape of the plot, the nature of local demand and the nature of the party managing the site. Around 50% of landowners interacted with individual plot holders, while a little less than a third (29%) leased the site to an association that then managed the individual plots. The remainder engaged with a mixture of these two approaches.

OFFERING ALLOTMENTS

When deciding to offer allotments, establish whether there is local demand for allotments and whether a suitable plot of land is available (one with defined access roads and suitable topography for example). Determine the appetite for direct management; this may yield greater returns, but will it be worth the time invested? Better equipped sites are likely to have a higher rental value; public research from 2022 suggests that 81% of plots offer mains water but only 24% offer a lockup store and 34% offer composting facilities.

In many cases, the economic case for offering allotments is weak. Leasing land to an association yields low returns. Plots can be individually managed in house, however, the income rarely compensates for the time required. Only at scale and in urban areas with high demand can sufficient rent be charged to make the enterprise financially viable. Landowners know this but continue to offer allotments; the value of allotments is not found on the balance sheet.

Allotments are a clear and obvious way for landowners to engage with their local community, particularly if directly managed. The opportunity to communicate with the community and build relationships can form a core part of an estate’s social strategy.

_{Read the articles within Spotlight: Controlled Environment Horticulture below.}