For 45 years the Tenant Farmers Association (TFA) has been at the forefront of championing the needs of the tenanted sector of agriculture and all those who do not own the land they farm. Throughout our history, the TFA has secured meaningful policy outcomes by remaining consistently “at the table” with a solutions focused mindset. Important developments such as the Rock Review of agricultural tenancies, the introduction of the Agricultural Landlord and Tenant Code of Practice, and the appointment of England’s first Commissioner for the Tenant Farming Sector owe much to sustained TFA advocacy.

Advice and Pastoral Support for Members

Alongside lobbying, the TFA’s everyday advisory work remains a cornerstone of its value to members. In the last year the Association delivered around 8,000 individual advisory consultations, representing some 1,700 hours of support. This advice, which covers both technical and personal challenges, has played a vital role in strengthening the resilience of tenant farming businesses. Marrying professional input with pastoral care is a key objective of the TFA in its engagement with its members.

Inheritance Tax Reform Dominates the Agenda

Not surprisingly, Inheritance Tax (IHT) reform has dominated debates over the past year. While the Government claimed that changes announced in the October 2024 Budget would not affect “hard-working farm families”, the TFA quickly identified serious risks for tenanted farms. Rather than simply opposing reform, the Association pursued a reasoned approach, analysing the Government’s objectives and highlighting unintended consequences, including perverse incentives for wealthy individuals to invest in land purely for tax planning purposes.

Progress Achieved — With More to Do

The TFA’s advocacy has yielded important wins. The TFA was the only organisation consistently arguing for increases to the IHT zero-rate threshold and for its transferability between spouses—measures eventually delivered by the Treasury in late 2025. However, the Association continues to campaign for reforms that would encourage longer Farm Business Tenancies (FBTs). Sadly, average tenancy lengths remain under four years, and overly short terms undermine productivity, environmental management and long-term investment.

Landlord Behaviour and a Declining Tenanted Area

We need to watch closely how the landlord community responds and react to the tax changes to be introduced from April this year. Evidence suggests that some landlords are regaining possession of land, shortening tenancies or reducing investment to manage perceived tax risk. DEFRA figures indicate a sharp decline in FBT numbers, from around 40,000 in 2018 to 30,000 in 2025, placing further pressure on opportunities for new entrants and on the vibrancy of the tenanted sector more broadly.

Fair Compensation When Tenants Lose Land

Another priority area is the fairness of compensation paid when tenants lose land following planning decisions to allow development including solar energy schemes. Current legislation often leaves tenants inadequately compensated or even not compensated at all. During the passage of the Planning and Infrastructure Bill through Parliament, the TFA proposed amendments in its House of Lords stages which sadly were rejected by the Government. The issue will now be considered within the forthcoming Law Commission review of agricultural tenancy legislation, a process the TFA strongly welcomes.

A New Commissioner for the Tenant Farming Sector

A major milestone achieved in the past year was the appointment of the first Commissioner for the Tenant Farming Sector. The TFA has committed to working with the Commissioner in stamping out poor conduct and promoting good practice. With survey evidence showing significant levels of intimidation experienced by tenants, embedding the Agricultural Landlord and Tenant Code of Practice into tenancy agreements and using the Commissioner to investigate alleged breaches would be a powerful step forward.

A New Model for Environmental Tenancies

Also, over the past year, the TFA was delighted to work collaboratively with the Crown estate in the production of a brand-new environmental Farm Business Tenancy agreement. This innovative 15‑year agreement, developed in partnership between the TFA and The Crown Estate, emphasises the importance of clarity, cooperation and sharing the benefits from environmental delivery. It is good to see that other major landowners are also taking interest in this new model which shows a growing appetite for a more balanced and forward-looking approach to landlord tenant relationships.

Managing the Transition Away from Basic Payments

More widely, farm businesses have been coming to terms with the transition away from the Basic Payment Scheme to new environmental support schemes. That process has not proved to be plain sailing with DEFRA and the RPA being guilty of poor communication and abrupt policy changes not least in respect of the overnight closure of the Sustainable Farming Scheme in the spring of last year. The TFA has worked with DEFRA and the RPA to get back to a better position and the scheme which will be available this year to hard-pressed farmers while not perfect, will be much better because of the TFA’s input.

Looking Ahead

The TFA will continue its mission to advocate relentlessly for tenant farmers and the landlord/tenant system of agriculture and looks ahead to build on hard-won progress. Nevertheless, there is much more to be done to deliver a fairer, more resilient future for the tenanted sector of agriculture.