Labour's general election victory and the subsequent possible tax shifts could impact land and farm sales in England, according to property experts.
Potential increases in Capital Gains Tax or the removal of Agricultural Property Relief (APR) could impact the market, GSC Grays warned.
The firm, which has offices in the north of England, said it was hoped that Business Property Relief (BPR) would remain unchanged.
But if APR is modified, it said farmers must ensure their farms are active enterprises to benefit from this relief.
Labour made no promises on Capital Gains Tax in its manifesto, although during the election campaign, Sir Keir Starmer did guarantee that under a Labour government people selling their main home would not pay CGT.
GSC Grays noted that land sales are currently experiencing increased activity, despite there being a shortage of good-sized arable or commercial farms coming to the market.
Supply and demand are roughly balanced, but it would not take much to tip this balance, GSC Grays said, especially with factors like debt reduction and changes in farming policy playing a significant role.
Guy Coggrave, managing director for GSC Grays, noted that farmers are increasingly using specialist advice focusing on profitability and sustainability of their farms.
He said: “For those who are considering selling, it is advisable to act promptly to make the most of what currently remains a favourable tax regime, which many commentators anticipate will change this autumn or next spring.”
