Agrifrance unveils its annual report focusing on the rural land market in Britain

Agrifrance*, a specialist division of BNP Paribas Wealth Management, has just published its special report on France’s rural land market, this year comparing it with the market in Britain.

The main findings of the report:

• Agricultural land in the United Kingdom occupies 17.3 million hectares, versus 26 million hectares in France. With an equal population, there are half as many farms in Britain as in France.

The United Kingdom nevertheless remains a major agricultural country. In Europe, it is the leading beef producer and ranks third for wheat or dairy.

• Forest covers only 13% of the territory or 3.1 million hectares, compared with 30% in France or 17 million hectares. As a result of a forestry incentive policy, timber prices are rising and demand for timber is strong. 
• Vineyards, with 2,000 hectares planted, obviously take up less land than in France, which has 786,000 hectares planted, but they have recently attracted a great deal of attention.

“In a political environment characterised by Brexit, rural land markets in England and Scotland are still surprisingly buoyant. In agriculture, UK land values exceed €20,000/ha on average for high quality land, two to three times more than in France. Forest remains a highly sought-after asset and stands at around €10,000 /ha. Timber, as a result of an ambitious forestry policy, is also experiencing very high prices. Finally, vineyards, which are admittedly less important and recognised than in France, have recently attracted a great deal of attention,” says Benoît Léchenault, Head of Agrifrance. “As in France, this interest in rural land as an asset for diversification and succession purposes comes down to the scarcity and quality of the products.”

A more limited market, where grasslands account for two-thirds of surface area

Prices that have risen sharply over the last 20 years

Find the full annual report on the BNP Paribas Wealth Management website