The latest Land Reform (Scotland) Bill was introduced to Parliament on 13 March 2024. It is a substantial tome which builds on earlier Land Reform Acts and introduces significant amendments to the Agricultural Holdings legislation.
The proposed new legislation is complex and will take time for parties to get to grips with in order to come forward with proposed amendments. It is anticipated that the parliamentary process may take up to a year and it is likely there will be delayed implementation of certain parts of the Act, not least because secondary legislation is required in several areas.
The Bill is split into two parts:
Part 1 – Large Land Holdings: Management and Transfer of Ownership
The key elements of Part 1 of the Bill are:
1. Large Landholdings – Management
- Imposition of community engagement obligations and requirement to publish a management plan on all landholdings of 3000+ ha on the mainland or 1000+ ha and > 25% of land area on inhabited islands.
- A new role of Land and Communities Commissioner (LCC) to investigate alleged breaches of management obligations, with the power to require information and issue fines.
2. Large Landholdings – Transfers of Ownership
- Owners of land that is, or forms part of, a landholding of 1000+ ha are prohibited from transferring or taking any action with view to transfer until the prohibition is lifted by Ministers to allow time for a late registration by Community bodies.
3. Large Landholdings – Lotting of Land
- Transfers of land of 1000+ ha will require a lotting decision from Ministers and will need to comply with the lotting decision in order to complete the transfer.
We have prepared a detailed summary of Part 1 of the bill – Land Landholdings: Management and Transfer of Ownership at the link below.
Part 2 – Leasing Land
The key elements of Part 2 of the Bill are:
1. Model Lease for Environmental Purposes
- A new form of lease is to be introduced by secondary legislation to allow land to be leased for the purpose of environmental land management.
2. Small Landholdings
- This contains a number of provisions to bring Small Land Holdings more into line with the rest of agricultural holdings legislation and under the remit of the Tenant Farming Commissioner.
3. Agricultural Holdings
- The Bill introduces a number of provisions to enhance the position for agricultural tenants in the context of improvements, diversification and environmental land management as well as compensation due on resumption or waygo and a wider basis for compensation for game damage. There is also a new rent review regime to allow additional factors to be taken into account.
We have prepared a detailed summary of Part 2 of the Bill – Leasing Land at the link below.
We will be conducting a more detailed consideration of the specific provisions to assist and inform parties’ responses. We will also continue to monitor progress and provide further updates on the Land Reform (Scotland) Bill when suitable.
You can view the Land Reform (Scotland) Bill in full at the link here.
If you have any questions about the Land Reform (Scotland) Bill, please do get in touch with a member of our Land & Rural Business team.
