Rural development opportunities are to be welcomed but they must not come at the expense of tenant farmers. New Infrastructure and wider economic development in rural areas are necessary but tenant farmers who might lose access to land through such schemes need to be treated fairly. They must not become the collateral damage of the transition to a lower-carbon economy as a result of renewable energy schemes such as solar and wind or of development more generally.
Why tenant farmers are especially vulnerable to rural development
Tenant farmers will often have invested years of work, capital and expertise in building viable businesses on land they do not own which makes them uniquely vulnerable. Without warning, a landlord may pursue planning permission for solar energy, housing, infrastructure or another non-agricultural use, while the tenant faces the loss of productive land, buildings, income and, in some cases, the viability of their entire business and livelihood.
Renewable energy and development: fairness for tenants, not opposition
This is not an argument against renewable energy or essential development. It is an argument for a planning system that recognises the people already living and working on the land. The previous Prime Minister, Sir Keir Starmer, when he was Leader of the Opposition, said that the expansion of solar energy should not be achieved by taking advantage of tenant farmers. Sadly, the activities of his Government beyond the July 2024 General Election indicate that it had forgotten those words and the new administration has so far also failed to understand the need to act.
Can a tenant farmer’s circumstances be a material planning consideration?
Case law already recognises that an occupier’s personal circumstances, hardship and the effect on a valuable business can be material planning considerations when the occupier of the land is not party to the application for development. However, these safeguards are inconsistently understood and applied by planning authorities, planning inspectors and others.
What compensation do tenant farmers get when displaced by development?
Compensation provisions set out in legislation are either out of date or non-existent. The tenants occupying under otherwise secure Agricultural Holdings Act 1986 agreements are entitled to only a maximum of six times the rent passing when they are displaced by development. Unless arrangements are written into the contract of tenancy, those occupying on Farm Business Tenancies are entitled to nothing by way of compensation. The TFA has long argued that all tenants should be in receipt of compensation which covers their actual loss.
What the National Planning Policy Framework refresh missed
It is therefore deeply disappointing that the Government’s recent refresh of the National Planning Policy Framework did not grasp this issue. The opportunity existed to state clearly that the impact on a tenant farmer is a material consideration, that early consultation is expected, and that the planning system should take into consideration evidence around the impact on the personal circumstances of the tenant farmer occupying the land. The refreshed framework should also have made clear that a development’s claimed public benefit does not erase the private harm inflicted on an established occupier.
That omission must now be corrected through the Government’s forthcoming review of planning guidance. The revised guidance should require applicants for development to identify all impacted agricultural occupiers, demonstrate early and meaningful engagement with them, assess the effect on their businesses and explain how loss of land to tenants will be mitigated. It should expressly remind all involved in development decisions of the relevant case law and confirm that severe impacts on an occupier can justify the refusal of permission. It should mitigate against reliance on statutory minimum compensation which falls short of reasonable and fair redress for tenant farmers.
Delivering renewable energy with tenant farmers, not at their expense
Ideally, renewable energy and infrastructure should be delivered by landlords working with tenant farmers, not at their expense. Government has another chance in bringing forward its guidance to ensure that the planning system balances national ambitions with fairness to those whose livelihoods depend on the land and it must grasp that opportunity. Tenant farmers deserve more than warm words, they need planning guidance that protects their security, recognises their losses and ensures that the cost of development is not transferred to those least able to control it.
This blog was written by George Dunn, Chief Executive, Tenant Farmers Association. It is based on a piece, published online and in paper on 30 October 2026.
Associated Reading:
The National Planning Policy Framework Government Guidance
TFA Blog #360: New Legislation the Farming Industry Will Need to Watch
TFA 2025 Lobbying #13 – TFA Letter to Prime Minister Sir Keir Starmer Over Solar Farm Ruling
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