Biodiversity; the concept features more and more frequently in both policy and everyday discourse, alongside – perhaps now overtaking – climate change. Increasing biodiversity is a Scottish Government priority, but what does that mean for rural land and business owners?
The Oxford English Dictionary defines biodiversity as “diversity of plant and animal life, esp. as represented by the number of extant species”. While Scotland has had a biodiversity strategy since 2004, State of Nature 2023 reporting confirms it is “highly nature-depleted”, with nature loss ongoing. The current strategy has overarching aims to halt biodiversity loss by 2030 and restore nature by 2045. Through the Natural Environment (Scotland) Bill (NESB) introduced in February 2025, the Scottish Government intends to create statutory targets to improve biodiversity with a view to achieving those aims.
Statutory targets are for the Scottish Ministers to reach. To do so, however, they will require the landowners and managers of rural Scotland to help them. Behaviour is likely to be shaped by both carrot and stick methodologies. We can probably expect that more rural and agricultural funding in the future will take the shape of schemes promoting practices that enhance biodiversity. Alongside that, there may be changes to the standards that trigger the ability to apply for baseline funding. We saw similar occur when new peatlands and wetlands requirements were introduced to Good Agricultural and Environmental Condition (GAEC) standards, targeting emissions; new Whole Farm Plan requirements already include Biodiversity Audits.
Biodiversity Net Gain
Away from pure agricultural and land management practices, biodiversity considerations continue to gain prominence relative to development proposals. Current Scottish planning policy, National Planning Framework 4 (NPF4), requires that all development proposals “contribute to the enhancement of biodiversity”. National or major development proposals must show that biodiversity will be left in a “demonstrably better state” than before intervention.
In England, Biodiversity Net Gain (BNG) has a statutory footing, requiring a 10% improvement in biodiversity compared to pre-development, with a detailed calculation methodology or metric to measure biodiversity prior to development, to assess how to meet the 10% required gain. The preference is to meet BNG requirements within the development area, but it is also possible to achieve it off-site – leading to potential opportunities for landowners in the area. Purchase of offsetting “credits” is a final alternative, leading to the creation of discrete “habitat banks” of land managed to increase biodiversity.
Scotland has no system of credits for biodiversity, so delivery or procurement by the developer is key – measures to enhance biodiversity should be incorporated in to developments wherever possible, though off-site delivery is also possible. The Scottish position is more flexible, without a prescriptive percentage required, but accordingly less certain. We might see local authorities (themselves under a duty to further the conservation of biodiversity in exercise of their functions) requiring higher levels of enhancement than in England.
Taken together, these have the potential to present Scottish landowners and managers with an opportunity to assist in delivery of required biodiversity gains, though careful consideration of the full requirements is necessary. As seen with woodland and peatland carbon projects, long-term tie-ins would be required, and landowners will want to ensure the costs do not outweigh the receipts.
Change and opportunity
Government regulation and intervention, seeking to change behaviours and meet goals, leave many landowners concerned of threat to traditional sporting land uses. Yet numerous grouse and salmon operations are already impacted by climate change, and consequential biodiversity loss. Change, government mandated or not, is inevitable. Undeniably, change is also often uncomfortable. Rural Scotland has consistently shown its adaptability; biodiversity restoration and enhancement may be the next opportunity to do so again.
*This article originally featured in Scottish Field July 2025
