HC Deb 11 November 1941 vol 374 cc2044-6
The Minister of Agriculture (Mr. R. S. Hudson)

During the discussions on the Agriculture (Miscellaneous Provisions) Bill, the view was expressed in a number of quarters in the House that steps should be taken to prevent speculation in agricultural land. The Government have been considering this matter and I am now able, with your permission, Sir, to inform the House of the conclusions that they have reached.

In the first place, it is necessary to distinguish between purchase of land for investment and purchase for speculation. So far as the former is concerned, it is not considered that any action is necessary at the present time, especially as the Government have already announced that, in so far as land purchased may subsequently become subject to public acquisition or control, any compensation will not exceed sums based on the standard of values at 31st March, 1939, and that legislation to give effect to this decision will be introduced in due course.

In the case of purchases for speculation, the operator aims at a quick turnover, resale with vacant possession and the exploitation of the sitting tenant who may be induced to pay a high price in order to avoid the loss of his farm. It appears to the Government, therefore, that the most effective deterrent to speculation in agricultural land is to restrict the power of the purchaser to give effective notice to quit to the sitting tenant. This will also avoid the disturbance of tenants who are playing their part in the increased home food production campaign by farming their land well; disturbance which is obviously prejudicial to the national effort. It is, therefore, proposed to make a Defence Regulation providing that where the whole or any part of an agricultural holding is subject to a contract of sale made since the outbreak of war or has been sold in pursuance of a contract of sale made since that date, any notice to quit that holding or any part thereof given to the tenant so as to expire at any time after the end of the year 1941, shall be null and void unless the Minister of Agriculture and Fisheries or the Secretary of State for Scotland, as the case may be, consent in writing thereto. As at least 12 months' notice must be given in the case of an agricultural holding (with the exception of a few short leases in Scotland where only six months' notice is required), the Regulation will in general cover any case where there has been a contract of sale since the outbreak of war and a notice to quit has been given since 31st December, 1940.

Mr. Levy

Is my right hon. Friend contemplating any action which means State acquisition or control of land? Is that "Socialism in our time" by my right hon. Friend?

Mr. Hudson

The statement has already been made on behalf of the Government that, in the event of any land being required for public purposes after the war, the basis of values in 1939 will prevail.

Mr. Levy

That is not quite what my right hon. Friend said in his statement.

Mr. Craven-Ellis

Has the right hon. Gentleman taken into consideration the change in the value of money? Will it be the money value as it was in 1939?

Mr. Hudson

That is a matter that will have to be discussed when the contemplated legislation is brought forward.

Mr. Craven-Ellis

It would be rather interesting if one could know now.

Mr. Hudson

All I am concerned with now is the Regulation that is being made with regard to speculation in agricultural land.

Mr. Craven-Ellis

I approve of what has been done, but will anyone who later on may have to come up against this Regulation have to pay in accordance with the value of money at the time of settlement and not what it was in 1939?

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