At the start of the year, we forecast that farmland supply and values would remain at 2025 levels in 2026. While policy certainty has strengthened in some areas with the publication of the Farming Roadmap (England), questions remain about policy impact across Great Britain (GB), and this is reflected in the half-year figures. Due to climate change, extreme weather conditions are now becoming the norm, with harvests starting earlier than many can remember and water (whether too much or too little) rising ever higher up the agenda.

While at the half-year point average GB farmland values are marginally down, farmland remains a “HALO” asset: heavy asset, low obsolescence. An asset that offers long-term capital protection, low risk of technological displacement, and resilience to AI disruption. In addition, long-term capital protection comes from land’s multifunctionality. The Land Use Framework (England) and Land Use Strategy (Scotland) acknowledge the critical importance of land for not only food production but also alternative uses, such as development, infrastructure, and energy, providing landowners with opportunities to realise value.

Supply

At the 2026 half-year point, GB’s farmland supply was down 12% (11,500 acres) from the same period in 2025. 88,100 acres had been publicly marketed by the end of June 2026 (H1 2026).

Wales has experienced the largest decrease in farmland coming to market (-32%), although our market commentary suggests there is stock available for buyers who want it. In England, the two regions where supply has increased are the East of England (13%) and the West Midlands (11%).

Compared with the 2012–2016 period, which we use as a pre-Brexit comparison, GB’s supply is down by 8%. Within this, though, the East Midlands shows a 49% increase in publicly marketed farmland between the average for 2012–2016 and 2026.

Larger farms (over 500 acres) have been more prevalent in England, particularly in the East and North, where arable is the dominant farm type. Overall, 56% of publicly marketed farmland was arable, compared with the 10-year average (2016–2025) of 38%. The arable sector is facing challenges due to rising input prices and static or declining output prices. Whereas trading has been strong for the livestock sector, highlighting the difference in market performance for “corn vs horn” farmland. Mixed farms have accounted for 17% of the farmland publicly advertised, compared with the 10-year average of 29%. Mixed farming systems can provide greater flexibility and resilience because enterprises complement each other by reducing the costs of feed and nutrients for one another, adding value overall.

Values

On average, GB farmland values have decreased by 1.4% in the first half of 2026. The policy uncertainty of previous years is running its course. For the South East, South West and East of England, average prime arable and grade 3 arable values have decreased. For Wales, South East England, South West and the West Midlands, declines are recorded for the poorer pasture.

National market comments

England – Alex Lawson

Perhaps, as has always been the case, factors beyond the control of farmers and landowners are having a significant influence on the market in 2026. Extreme weather conditions, “evolving” government policy, and ongoing political uncertainty can all delay or discourage major decisions, such as buying or selling land. Despite these challenges, many purchasers continue to recognise opportunities when they arise, particularly for best-in-class properties, where competitive bidding remains evident.

Buyers with proceeds from development sales continue to represent an important source of demand in many regions. Alongside them are well-funded private and corporate investors seeking diversified income streams and opportunities for capital growth through strategic change, including development and natural capital projects. As ever, neighbouring land can attract strong interest from special purchasers who view acquisition as a once-in-a-generation opportunity. Most of these buyers have a medium- to long-term investment horizon, reflecting a fundamental characteristic of land ownership: its ability to preserve and appreciate wealth over time.

Scotland – Luke French

Despite the unsettling backdrop, the Scottish farmland market has held up well, but it is highly selective. Farmers remain the backbone of demand, although we are seeing fewer buyers with rollover funds from development sales and greater reliance on bank lending, making purchasers more cautious and price-sensitive.

Publicly marketed supply to the end of June is down on both last year and the pre-Brexit average, but the regional picture is mixed. We have seen more activity in the Highlands and Grampian, while parts of southern Scotland and other traditionally active farming areas have been much quieter. That said, the public figures do not tell the whole story, with more farms and blocks of land changing hands privately, which do not show up in the supply statistics but is a very real part of the market.

The market is increasingly two-tier. Well-equipped, sensibly priced farms are still attracting interest, with competitive closing dates being achieved on both open-market and private sales. But buyers are much more forensic on anything secondary or requiring significant capital expenditure. Values are also becoming very localised, particularly where established farming businesses are competing hard for neighbouring or strategically important acres at levels that are difficult for buyers from outside the area to justify.

Wales – Daniel Rees

There is a good selection of farms and land currently on the market, with plenty of stock for buyers to choose from. Buyers (especially dairy farmers) have continued to commit to land and farm purchases despite the impacts of the Russia–Ukraine and US–Iran conflicts, and low milk prices, which is reassuring for the market. Spring has been busy with agreed sales and while this activity slowed in June, the market is once again picking up.

With stock available, buyers are taking their time with their purchases. Agricultural buyers are focused on existing infrastructure due to the high costs of buildings and setting up milking parlours, and lifestyle buyers are seeking a mix of land types, including woodland, lakes, and rivers.

There continues to be a good mix of buyers, including young farmers setting out on their own, established farmers expanding existing holdings, or completely relocating from other parts of the UK and lifestyle buyers.

Outlook

It’s not only climate change finding the new norm, as farm support continues to be withdrawn, farming businesses continue to seek income streams via crop production, supply chain contracts and alternative enterprises. The recently published Farming Roadmap sets a clear long-term vision for a profitable, productive, resilient and sustainable farming sector with the primary purpose of food production – we’re seeing those keen to expand their farming operations and be part of the industry’s future active in the market. In addition, the alternative land use opportunities underpin the long-term future of this asset class.

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