Land prices in UK to see growth
BRITISH land prices are expected to increase by 3-5pc in this and coming years, according to a leading estate agent in the country.
The latest average price for prime arable land grew by 5pc growth to £5,400/ac (€6,060/ac) in the third quarter of last year, according to Savills auctioneers.
The average increase for land prices was 3pc in the third quarter.
Prices were expected to stabilise during the final quarter of last year, giving an annual growth of around 4pc for the entire year.
It appears the farmland market in Britain is regaining the ground it lost in the second half of 2008.
Comparing agricultural land to gold and oil, the auctioneering firm found that farmland values, like the price of gold, stabilised around their peak and did not record the significant falls that residential and commercial property and equities experienced over the past two years.
In England, average growth of 3.3pc was recorded across all regions with the strongest growth, a significant 6.4pc, recorded in the south east of England, where average values exceeded £5,100/ac (€5,724/ac).