The acreage of farmland put up for sale in the East of England rose by almost ten per cent in the first half and prices are coming under pressure as the sector adapts to reduced government subsidies. Savills quarterly farmland survey shows that 14,292 acres of farmland was publicly marketed in the East in the first half, up from 13,072 acres in the period last year. The report also shows a dip in value for some farmland types in the East although prices remain above the national average.

Harry Kennedy at Savills in Norfolk said: “Our last survey forecast the supply of farmland would continue its upward trajectory and so far this has played out – predominantly driven by larger blocks over 500 acres becoming available as farmers and landowners manage the transition away from the Basic Payment Scheme....The continued reduction in funding is encouraging many farmers and landowners to diversify and find alternative sources of income, however others are making the difficult decision to leave the industry completely or to consolidate and sell part of their holding.”

The average value of all farmland in the East fell to £9,276 an acre at the end of June, down 6.6 pc. The value of prime arable land in the region dropped 8.3 pc to an average of £9,928 although Grade 3 arable rose by 7.3pc to £9,251 an acre. Previously, farmland prices in the East had hit a near-high over the past 18 months, well ahead of the rest of the UK. Nationally, 118,232 acres of farmland were marketed across the country in the first six months of 2024, up 36 pc on last year.

Will Radbourne of Savills in Chelmsford added: “Encouragingly, there continues to be a strong pool of committed buyers with appetite for best in class properties ranging from prime residential estates to substantial farming portfolios.”

Photo: Land at Reed Lane Farm near Dereham in Norfolk currently on the market for £4.5m.