National government

News Lease Policy

House of Representatives agrees with lease policy

27 March 2019 - Anne Jan Doorn

The agricultural representatives in the House of Representatives broadly agree with the new lease policy of Minister Carola Schouten (Agriculture, Nature and Food Quality). However, the details can make or break the policy. This became apparent during a general consultation in the House of Representatives.

The agricultural spokespersons praised the fact that Minister Schouten took the lead in the long discussion around lease† However, several MPs warned the minister against too many 'bells and whistles', or too much regulation.

According to Jaco Geurts (CDA), this can make it unattractive for lessors to lease the land. In addition, in combination with the capital gains tax, it can pose a danger, namely that the lessors will drop out and put the land up for sale. Schouten is aware of this, but also notes that she has support for policy that she has outlined.

Balance between owner and user
The minister stated that she is constantly looking for a balance between land owners and users. According to her, there is currently an imbalance, because 90% of the lease contracts have now been converted into short liberal leases. That is not good for the farmer and not good for the soil quality, she says. That's why she wants to turn the tide.

She argues that long leases are better for soil quality. This is because it is in the farmer's interest to properly manage land. "For good soil management, both the amount of the lease and the duration of the lease are important," said the minister. According to the minister, good soil management is in the public interest. "Good land policy is a good climate policy."

Draft bill still this year
Schouten wants to come up with a draft bill this year. She realizes this is ambitious, but wants to keep the pressure on it. An important point here is how the lease price determination for the newly introduced lease form will be shaped. 

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Anne-Jan Doorn

Anne Jan Doorn is an arable expert at Boerenbusiness. He writes about the various arable farming markets and also focuses on the land and energy market.

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