Holiday Accommodation: Farms
The question
To ask the Chancellor of the Exchequer, if she will take steps to support farm owners to (a) diversify their businesses and (b) improve their financial security by providing accommodation for furnished holiday lettings on their farms.
Answered by James Murray
The Government is supporting farmers and land managers to adapt their business models and access tailored support to do so through the agricultural transition, including through diversification. For example, farmers can access free business advice through the Farming Resilience Fund.
The Government recognises that many farmers may choose to let out part of their estates as furnished holiday lettings (FHLs). Nevertheless, while the government recognises the important role that FHLs have, including those located on farms, in the visitor economy, tax rules currently privilege short-term lets over long-term rentals. The Government will therefore abolish the FHL tax regime from April 2025,which will equalise the tax treatment of landlords’ property income and gains.
Verbatim has judged this answer against the question that was actually asked — answered, partly answered, or evaded. Sign in to see the verdict →