Move by landlords on amnesty for tenants’ improvements backed by STFA chairman
THE Scottish Tenant Farmers Association (STFA) has commended Scottish Land and Estate’s (SL&E) statement that its members are committed to make the amnesty on tenant improvements work “well and fairly”.
SL&E has also sought to clarify its position regarding tenant improvements to farmhouses.
STFA chairman Christopher Nicholson said: “We welcome this signal that landlords are ready to play their part in the amnesty on tenants’ improvements.
“This amnesty presents tenant farmers with an opportunity to remedy deficiencies in paperwork which would otherwise have rendered many of their improvements to the farm ineligible for end-of-tenancy compensation.”
Mr Nicholson said that the amnesty process would be complicated.
He added: “Although the intention is clear, some of the legislation is open to different interpretations, such as the treatment of improvements to farmhouses and cottages and the notion of what is ‘fair and equitable’.
“Housing under an agricultural lease is exempt from the Housing Acts and as landlords are under no obligation to bring housing up to acceptable standards they have traditionally been reluctant to invest in farmhouses.
“Consequently improvements have invariably been carried out by tenants over the years and it is only right and proper that they should receive compensation at waygo (leaving the farm).”
Mr Nicholson added there were grey areas around some aspects of the amnesty.
He said: “STFA will be calling on the new tenant farming commissioner Bob McIntosh to work with stakeholder organisations to find common agreement.
“STFA has already recommended the land commissioner and the tenant farming commissioner approach the Land Court to explore ways of determining disagreements without embarking upon an expensive court case.”
The amnesty starts in earnest on June 13 and STFA is urging tenants to make an early start in preparing for it by checking leases and looking through past paperwork so they can substantiate the notices they will be serving.
In doing so, tenants should remember to detail improvements they have made to the farm which will not be eligible for compensation, but which must be taken into account in rent reviews.
Mr Nicholson added: “There is no reason why landlords and tenants should not agree to recognise improvements before the legislation is activated. Andrew Thin, the Government’s independent adviser, has guidance on the