| 06/03/07
 A new tax being proposed by the Treasury will strangle enterprise
              and further constrain the provision of affordable housing in the
            countryside, says the Country Land and Business Association. 
              
              
 
 
                |  |  Wales Director Julian Salmon who is based in Presteigne is concerned
              that rural Wales, its economy, communities, and environment, will
              be disproportionately hit by the introduction of Planning Gain
              Supplement.
 “The provision of affordable rural housing, small scale diversification
              projects and those wanting to change the use of agricultural land
              could be seriously hindered by the introduction of the Planning
              Gain Supplement (PGS). The CLA is fundamentally opposed to this
              proposed tax,” said Mr. Salmon.
 
 “Under current proposals, those wanting to convert barns
              to new uses which are to be let or to change the use of land from
              an agricultural field to equine use, would be expected to pay a
              tax. Those hardest hit would be small scale developments such as
              those converting farm buildings for small diversification projects.
 
 “The best security for rural areas is a successful and sustainable
              rural economy allied with a flexible and integrated planning system
              with policies that all pull in the same direction.
 
 " Whilst the Welsh Assembly Government encourages agriculture
              to diversify, this proposed policy from the Treasury will hinder
              it. We cannot afford to have two opposing messages coming from
              Government. PGS is a costly and complex tax that will hinder rural
              enterprise and development.”
 
 
 TAN 6 which deals with rural diversification and affordable rural
              housing in light of the decline in the agricultural sector is currently
              under review.
 
 The response deadline to the “Making Changes to Planning
              Obligations – a PGS consultation” issued by the Department
              for Communities and Local Government was 28 February 2007.
 
 The full CLA response is available at the Planning and Housing
            section on the CLA website www.cla.org.uk
 
			   Farmland price growth trebles to record levels 
  Farmland prices soar to highest levels 
  RICS UK housing market survey, June 2006 |