Farmland prices in the North West are the highest in Britain – with the cost of an acre coming in at £8,813.
The news comes as farmland prices hit yet another record high during the final six months of 2013, having jumped around 15 per cent in the space of a year, says the latest RICS/RAU Rural Land Market Survey. During the second half of last year, the average cost of farmland rose to £7,754 per acre across England and Wales, hitting a record high for the ninth consecutive period. The cost of land is now 14.3 percent higher than during the same period in 2012 when an acre cost, on average, just under £6,800.
Growth in prices has been driven by the ongoing surge in demand from farmers looking to expand their operations, while the amount of land coming up for sale is continuing to lag well behind.
Meanwhile, land north of the border, in Scotland, was the least expensive with an acre costing around £3,750.
Jeremy Blackburn, RICS head of UK policy, said: “Farmland price growth has been enormous in recent years.
“With commodity prices now having remained strong for some time, many farmers have been looking to expand their businesses and, with so little actually coming up for sale, competition for good land is fierce.
“With floods having devastated large swathes of southern England, what remains to be seen is the impact this has on the market.”