Incomes from rural businesses have reduced considerably over the last few years. This means that land managers have increasingly been looking for other ways of boosting income. 

World commodity prices, the reform of CAP, the exchange rate of the Euro, BSE and foot and mouth disease have all reduced incomes from rural businesses.

Getting the most from the land can now potentially involve building a windfarm or micro hydro power station, setting up a bed and breakfast business, mineral development or opening tourist attractions. 

The provision of private rented housing, particularly affordable housing can be a significant element of a rural business and one to which the Scottish Government has given encouragement by initiatives such as the Rural Empty Properties Grant and the Rural Homes for Rent schemes. 

Tenant farmers have also been given the opportunity to diversify. The Agricultural Holdings (Scotland) Act 2003 allows tenants to carry out non-agricultural activities without being in breach of their lease. 

Funding may be available for diversified activities via the integrated funding mechanism introduced by The Scottish Government’s Scottish Rural Development Programme (SRDP)  This is A £1.6 billion programme of economic, environmental and social measures designed to develop rural Scotland over the next seven years.

Measures will be delivered through:

• Crofting Counties Agricultural Grant Scheme
• Food Processing, Marketing and Co-operation Grant Scheme
• Forestry Commission Challenge Funds
• The LEADER initiative
• Less Favoured Area Support Scheme
• Rural Development Contracts
• Skills Development Scheme

We recognise and respond to the changing face of rural Scotland and can advise you on how best to take advantage of the many opportunities offered by change. 

For more information please contact Alasdair Fox, John Mitchell or Jim Drysdale.