FARMLAND values have increased for an eighth straight quarter, new data from national property consultancy Carter Jonas shows.

Two years of consecutive growth was confirmed as arable land grew by 0.4 percent to reach £9,272/acre, and pasture rose 0.5 percent to £7,511/acre from January to March.

Year on year, arable land has increased in value by 4.3 percent and pasture by 3.4 percent but, when compared to the rates of growth seen at the start of 2022, growth has slowed considerably.

“Rising land values has been a key feature of the past two years,” says Carter Jonas Head of Farm Agency, Andrew Chandler. “We have seen pasture grow by a healthy 5.5 percent, and arable by 4.8 percent (annualised).”

Over the same period, lower-quality land has risen at a faster pace than average values, driven by demand from natural capital investors who seek to purchase land for environmental and biodiversity enhancement. Secondary and tertiary pasture land values have increased by 8.7 percent annually in the past two years, while secondary and tertiary arable land has seen 6.1 percent annualised growth in the same period.

Pasture land is now only £100/acre (1.3 percent) behind its peak. Arable land, however, is £849/acre (8.8 percent) behind its peak.