Will farmers be forced by councils to sell their land below market rate?
11th March 2025
Farming bosses fear that farmers could be forced to sell their land below market rate as the Planning and Infrastructure Bill is set to be introduced to Parliament later today.
Farmers, who have already been facing life-changing difficulties connected to changes to the inheritance tax reliefs, may now have another worry on their shoulders.
As deputy prime minister and secretary of state for housing, Angela Rayner, explained, the Planning and Infrastructure Bill aims at delivering 1.5 million new homes in the country.
The government confirmed that the Bill will see “significant measures introduced” to speed up planning decisions to “boost housebuilding and remove unnecessary blockers and challenges” to the delivery of vital developments like roads, railway lines and windfarms.
This will boost economic growth, connectivity and energy security while also delivering for the environment, the Labour government added.
MP Rayner said: “We’re creating the biggest building boom in a generation – as a major step forward in getting Britain building again and unleashing economic growth in every corner of the country, by lifting the bureaucratic burden which has been holding back developments for too long.
“The Planning and Infrastructure Bill will unleash seismic reforms to help builders get shovels in the ground quicker to build more homes, and the vital infrastructure we need to improve transport links and make Britain a clean energy superpower to protect billpayers.”
‘Hitting landowners isn’t the solution’
One of the key measures, compulsory purchase orders (CPO), is set to hand greater powers to local authorities so they could buy land at its current price rather than the value of what it would be if it were to be developed, The Telegraph reported.
Currently, land bought under CPOs is sold at its so-called ‘hope values’, which reflect beliefs on what the land would be worth with the requisite planning permission.
It can sometimes significantly drive up prices, leading to major delays as owners haggle over values.
Following the new reforms, councils would be able to apply for permission to use compulsory purchase orders without hope values and without needing to consult the government, the media outlet explained.
Country Land and Business Association (CLA) deputy president Gavin Lane said: “We urgently need more affordable housing, but pushing landowners into selling land isn’t the answer.
“Compulsory purchase drags landowners through years of stress, disruption and compensation battles, harming individuals and communities alike.
“Instead of pushing landowners to bear the burden, why not work with them? Most want to see progress and could deliver development faster, cheaper and with more care.
“Hitting landowners isn’t the solution – fixing the planning system is.”
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