The South East farmland market displayed strong resilience in 2025 despite tighter supply volumes and mixed price movements across Great Britain, according to a new report from Savills, Spotlight: The Farmland Market.
A total of 16,800 acres of farmland were marketed during 2025, compared with 21,600 acres the previous year – a decrease of 22%. While supply has eased, the region maintained its position as an important contributor to national availability, accounting for 14% of all farmland marketed in England.
Across the region, county-level figures showed a varied but active market. Hampshire publicly marketed the largest volume of farmland in 2025 with 4,768 acres, followed by 3,306 acres in Oxfordshire, 3,241 acres in Kent, 1,518 acres in East Sussex, 1,530 acres in Buckinghamshire, 1,141 acres in West Sussex and 1,051 in Berkshire – which continues to rise year on year as more land is publicly marketed in the county.
Average land values continued to rise in 2025, with prime arable achieving the highest average value at £10,720 per acre. This was followed by grade 3 arable at £9,874 per acre and £9,018 per acre for average livestock.
Despite regional differences, land values are expected to remain stable with growth returning in the medium term, supported by demand for development, agriculture, energy and environmental initiatives.
Chris Spofforth, head of rural agency for Savills in the South East, said: “Even with supply easing in 2025, the South East remains a critical driver of farmland availability in England, and the level of interest we are seeing across all land types reflects the continued confidence in the sector.
“Buyers are taking a long‑term view, recognising the role farmland plays not only in food production but also in energy, development and environmental delivery.
“As policy and taxation changes begin to influence decision‑making, we expect activity to build steadily, with values holding firm in the short term and opportunities for growth in the medium term.”
Across Great Britain, Savills annual report recorded a 12% year-on-year fall in publicly marketed farmland to 165,000 acres across 882 properties. Overall average farmland values dipped by around 1%.
Farmers remained the largest buying group at 45% of transactions, the majority were buying to expand their farm (83%), with 8% relocating. 82% of all purchases were funded with cash.
Savills expects supply to increase from 2027 as larger farming businesses begin to address inheritance tax (IHT) liabilities, although it does not anticipate a return to pre‑2000 acreage levels.
Recent planning policy changes should positively affect capital flows for farming businesses in growth areas. Since 2021, the number of residential units gaining planning consent has fallen by 40%, reducing receipts from sales of land for development.
This is evident in the declining share of farmland buyers taking advantage of capital gains rollover relief, which has fallen by 60% since 2019. If the National Planning Policy Framework reforms succeed in their ambition, development land transactions and, therefore, landowners looking to rollover sale proceeds back into farmland should recover.
Typically, demand for farmland is stronger near development hotspots, driving competition and higher prices. But many farmers seeking to replace their lost land and reinvest are willing to consider the right farm further afield.
Meanwhile, nature markets are expanding beyond Biodiversity Net Gain toward broader restoration goals, including England’s Nature Restoration Fund and the Environmental Improvement Plan, which sets ambitious peatland targets across the UK, while meaningful incentives, subject to constraints around land type and specific habitats, support ambitious woodland creation targets.
