The Scottish Parliament’s Net Zero, Energy and Transport Committee issued a Call for Views on the Land Reform Bill.

Welcoming the proposals, the Scottish Land Commission said the legislation could address longstanding issues associated with concentrated land ownership in Scotland.

Michael Russell, chair of the Scottish Land Commission, said: “The Bill’s proposed measures, including lotting – the dividing up of larger units of land for sale – are significant steps towards addressing the impacts of concentrated land ownership in Scotland. The Scottish Land Commission has published in-depth research on the need for reform and proposed measures and we are pleased to contribute to the consideration of this important legislation.

“Our research shows that the effects of concentrated land ownership are far-reaching, impacting how people can work, live and grow in communities. The proposal for large land holdings to work more closely with communities and publish plans outlining how they intend to use their land will help to increase transparency and disclosure.

“Although the proposed transfer test differs from the public interest test recommended by the Commission, we believe that the inclusion of lotting could make more land available and look forward to consideration of how this approach can have most impact .”

In its submission to the committee, the Scottish Land Commission draws on its extensive research, including an investigation into issues associated with the scale and concentration of land ownership (link) and a review of international practices. As well as reflecting its practical experience over three years of our Good Practice Programme.

Michael Russell added: “In our response, we also say that systemic change in the pattern of land ownership will need these measures to be accompanied by a programme of further reforms. Our research and recommendations set out proposals for reforms to tax and fiscal policy, community rights to buy and the role of public land for example.

“Land reform cannot be done in isolation. This Bill is an important step and we welcome the opportunity to share the evidence and advice published by the Commission to support legislation that will have an impact in addressing the longstanding challenges of concentrated land ownership.”

Scottish Land & Estates said the Land Reform Bill is “gambling” with the future of communities in rural Scotland and investment in the transition to net zero.

In a 46-page submission, the rural business organisation highlighted a series of “critical faults” in the Scottish Government’s plans, including:

• The proposal to interfere with the sale of large landholdings by giving ministers power to split the landholding into lots jeopardises a range of projects supported by government including housing provision, renewable energy, commercial forestry and carbon sequestration schemes.
• Key measures in the bill to break up large estates rely too heavily on conjecture based on impressions rather than evidence.
• Evidence that land management at scale has positive outcomes for the environment and communities has been sidelined.
• Existing lending from banks and other finance agreements on property in rural Scotland are likely to require immediate review if property owners are no longer able to dispose of assets without recourse to government for lotting.
• No evidence appears to exist for the Scottish Government’s threshold of 1,000ha, 3,000ha, or any other defined scale, as a rationale for implementing onerous policies and legislation.
• Land management plans, which are supported in principle, could, as set out, lead to a cost of over £20,000 every five years for each estate required to do so.
• The sale of land by a large landowner to tenant or as part of a housing development risks being thwarted by new community purchase provisions as currently drafted.
• The new Land and Communities Commissioner is being afforded huge powers with very little detail on the responsibilities of the role.

Sarah-Jane Laing, chief executive of Scottish Land & Estates, said: “There is growing evidence that management of land at scale has positive outcomes for the environment and communities. Some of the measures proposed present serious concerns not only for the owners of land but also for people, jobs and nature.

“This is gambling with the future of rural communities.”

In its evidence, Scottish Land & Estates stated: “Land-based businesses want to see a thriving rural Scotland which delivers benefits for all, and we believe that large landholdings play a vital role in this.

“We endeavour to play a constructive and forward-looking role in land policy and legislation and actively contribute to the development and promotion of good practice on community engagement, wider land management and land ownership and agricultural holdings.

“We are also strong advocates of ever-increasing transparency and visibility of ownership and of responsible investment in natural capital. However, we believe that many of the measures contained within this bill will reduce the delivery of positive outcomes and, due to their overly bureaucratic nature, will create uncertainty and conflict.

“Breaking up large-scale landholdings is not the same as tackling concentration. A sale of a 3000ha estate of largely hill land in Sutherland for example, may have much less of an impact on local communities than a 20ha site suitable for housing on the edge of a town or village.”

“The process of Ministers lotting estates for sale appears to be a clear interference with private property rights, which could lead to an impact on productive land use as well as value. The lotting criteria is sparse and unclear so it is impossible to determine at this stage the full extent of considerations that will be made by Scottish Ministers.

“A sale lotted for sustainable development could have a detrimental impact on both the viability and marketability of the sale overall, and also on the viability of a mix of activities, such as landscape scale management for wildlife or the environment and commercial activities such as farming and forestry, which does not seem to have been considered within this legislation.

“While the bill as proposed seeks to bring in new legislation around large landholdings there seems to be little acknowledgement of existing legislation and vehicles which could be used to address any issues which may occur.

“We would like to see greater focus from the Scottish government on supporting and facilitating constructive local planning and place making.”