Family Farm Ownership: Clearing the confusion

1st May 2025

Author: Rebecca Jepson

Owning and managing a family farm involves wearing many hats; from day-to-day operations to long-term planning.  Amid these demands, legal paperwork can easily fall down the priority list. However, when it comes to land ownership and use, having clear, up-to-date documentation is essential.

Without it, you may face real challenges – especially if you are thinking about succession, trying to transfer land, or working through a disagreement. In this article, Rebecca Jepson, Head of the Agriculture and Rural Affairs Team at Butcher & Barlow, explains why clarity matters and how we can help you put your land affairs in good order.

Why legal clarity in land ownership is crucial

Many land-related issues arise when there is uncertainty over who owns which parts of a farm, who is entitled to occupy certain areas or whether previous arrangements have ever been formally documented. This lack of clarity can cause problems such as:

• Disputes among family members
• Difficulties in selling or transferring land
• Tax complications
• Challenges during succession or retirement
• Inconsistencies between legal ownership and partnership accounts

These issues are not only stressful but can also be costly, time-consuming and can prevent you dealing with the land as you may want to. Getting everything properly documented is usually much more straightforward – and gives you greater control over the future of your land.

Key areas to review on your family farm

1. Ownership

Begin by confirming who legally owns the land. Is it registered in individual names or jointly?  Is it recorded as being held as an asset of a farming partnership? In many instances, land used by a partnership may still be held in the personal name of a family member, leading to confusion, particularly when trying to value the business or plan for succession.

When land is owned by a partnership, it is essential that this is formally recorded and accurately reflected in the partnership agreement, accounts and balance sheet. Discrepancies between legal title and financial records can cause significant issues, particularly when a Partner retires or passes away. At Butcher & Barlow we often work alongside the our clients’ accountants to ensure land ownership is consistent and correctly documented.

Additionally, we recommend:

• Verifying that all titles are correctly registered with the Land Registry.
• Reviewing any older deeds, where relevant. while the title register is usually the definitive record for registered land, older documents may still matter, especially if referred to in the register or if the land is unregistered.
• Ensuring that any transfers or changes over time have been properly documented.

2. Boundaries and Access

After confirming ownership, it is important to look at the physical layout of the land.

Over time, boundaries can shift or become unclear, particularly if fencing has moved or informal arrangements have been relied upon. Even Land Registry plans may not always provide precise details, so it is advisable to check:

• Whether farm boundaries are clearly marked and legally defined
• If any changes agreed upon with neighbours are documented
• That you have legal access to all parts of your land

Uncertainty over boundaries or access can affect the value of your land, limit its use, or lead to disputes. We can conduct thorough checks and help resolve any uncertainties and identify potential risks.

3. Tenancies and Occupation

Next, determine who is currently farming the land. Are there formal tenancies in place? Is someone farming informally – perhaps a family member? Agricultural tenancies can be complex, with rights and responsibilities varying depending on the type of agreement. Issues may arise when:

• A family member occupies land without a written agreement
• An old tenancy remains unreviewed
• Someone contributes significant labour or capital without legal recognition

Clear, written agreements help prevent misunderstandings and ensure that all parties understand their rights and obligations.

How can Butcher & Barlow assist?

Our Agriculture and Rural Affairs Team takes a practical, hands-on approach to assist you in organising your land affairs. We start by understanding your farm’s operations, your family’s involvement and your goals for the future. From there, we carry out a full review of your current arrangements, including:

• Examining legal title and ownership structures
• Reviewing partnership agreements
• Ensuring all occupation and tenancy arrangements are properly documented
• Identifying and addressing any inconsistencies or potential risks

When necessary, we register unregistered land, draw up tenancy agreements, and work with your accountants to align your legal position with the financial one.

We understand how important it is to preserve family relationships and to ensure that your farm can be passed on smoothly when the time comes. Our advice is always clear, straightforward and tailored to your needs.

Planning for the future

Getting your land in order is not just about avoiding problems today – it is about protecting your farm for tomorrow. Whether you are preparing for the next generation, aiming to prevent potential disputes, or simply seeking to align your records with current practices, we are here to provide guidance and support.

We also offer guidance on:

• Succession planning
• Wills and trusts
• Partnership and shareholder agreements
• Tax-efficient land transfers

Maintaining clear and up-to-date land records facilitates these processes and helps avoid future complications.

At Butcher & Barlow, we understand that a family farm is more than just a business—it is your life, your history and your future. We are committed to helping you protect what matters most by ensuring your land affairs are legally secure and prepared for the future.

If you have any questions about land ownership, tenancies, boundaries, or wish to review your partnership records in collaboration with your accountant, Rebecca can be contract on 01606 334309 or rjepson@butcher-barlow.co.uk

 

 

The information in this article was correct at the time of publication. The information is for general guidance only. Laws and regulations may change, and the applicability of legal principles can vary based on individual circumstances. Therefore, this content should not be construed as legal advice. We recommend that you consult with a qualified legal professional to obtain advice tailored to your specific situation. For personalised guidance, please contact us directly.