CABINET members at Somerset County Council will make a decision next week that could result in the sell-off of the authority's entire farm estate.

Council owned farms have long been regarded as a critical first step onto the ladder for farmers who are unable to purchase a holding of their own.

The county council has around 60 farms that are leased to tenants. When cabinet members of the council's Conservative administration meet at County Hall on Monday morning, they will be asked to approve a policy change that would allow a farm by farm review potentially enabling all of the authority's holdings (including those classified as a core part of the estate) to be considered for disposal.

The move, which comes under the banner of a Property Rationalisation Programme, is part of Somerset County Council's raft of measures to reduce its £400 million debt.

The National Farmers Union (NFU) has described the proposed sell-off as "foolish and short-sighted". The organisation claims that, with proper management, county farms could be valuable long-term assets making an important contribution to the rural economy, community life, local food production, the natural environment and even energy production.

Somerset County Council owned 13,500 acres of land farmed through tenancy arrangements in 1989. Sales over the past two decades have already reduced the figure by more than half to around 6,500 acres.

Important lifeline

Somerset Land and Economic Group chairman and former Somerset NFU chairman Ruth Kimber said the county council's tenant farms were an important lifeline for people planning to set up new farming businesses.

"The council is failing the people who have invested time, energy and money into these farms and taking away the opportunity for people who are not in a position to acquire a farm of their own to produce food for the county and look after the land," she said, adding: "A big problem is that it is a quick fix and a one-off. There could be an opportunity to release money - land is a very safe asset and people are quite happy to lend money against ownership of land."

Liberal Democrat county councillor Alan Gloak said county farms have a role to play for the wider community as well as the local farming industry, including their contribution to inward investment and tourism

"The county farms estate is an integral part of the authority's portfolio which provides social, economic and environmental services and facilities to the benefit of all the people of Somerset.

"Tenants of Somerset county farms have contributed to the local economy and are able to attract funding and support on a European level, which in turn is invested back into the local economy.

"Somerset County Council is considering the sale of all its farms to fill a very small hole in the £400 million deficit in the budget. They will never be able to replace these assets that they have had for over 70 years, and the council doesn't seem to be considering the long term economic impact that the sale could have," Mr Gloak said.

Conservative county councillor David Huxtable, who is cabinet member with responsibility for resources, said he did not expect a complete sell-off in the foreseeable future. Most estate farmers have a lifetime tenancy that lasts until they choose to end it, although around 20 have fixed term contracts that would be unlikely to be renewed.

"We are not going to sell the whole farm estate," Mr Huxtable said.

Although the council lists "supporting the rural economy" among its policies, Mr Huxtable explained that he had been forced to look to its capital assets in a bid to reduce its debt. He pointed out that the previous Liberal Democrat administration made around £15 million through the sale of county farms in a five-year period.

"Considering farm sales is not something I do with great relish but we are in dire financial straits and our debt will only get worse if we don't do anything about it," he added.

"We have been selling county farms for as long as we've had them. I can't understand why we have to subsidise farming when we don't subsidise other businesses. Farming is not our core business - we fill holes in the road, educate children and look after elderly people."

When asked where Somerset County Council will draw the line in terms of capital asset sales, Mr Huxtable replied: "The fact is that we just can't borrow any more money. People ask what we will do when we have sold all of our assets but we will just have to cross that bridge when we reach it."

Mathew Manning

mmanning@bvmedia.co.uk