Falling demand signals shift in Scotland’s rural land market

Scotland’s rural land market is showing signs of cooling, with falling demand in key sectors such as commercial forestry and natural capital investment, according to new analysis from the Scottish Land Commission and SRUC.
The latest report reveals how economic and political uncertainty have reshaped rural land market activity over the past year.
Now in its fourth edition, the 2025 report draws on interviews with land agents across Scotland to uncover the key trends influencing land sales and investment decisions in 2024.
While farmland sales remained steady, the report finds that demand in key sectors such as commercial forestry and natural capital investment continued to fall, largely due to economic uncertainty and market disruption.
Dr Ian Merrell, research fellow at SRUC and lead author of the report, said: “Now in its fourth year, the report demonstrates the importance of continuing to observe and track the key drivers in the land market. Some patterns that were identified in previous reports are now showing signs of reversal, and new factors which may affect the market have emerged this year.”
James MacKessack-Leitch, policy and practice lead at the Scottish Land Commission, added: “Understanding how the rural land market is evolving is essential for developing effective land policy in Scotland. This report highlights the growing complexity of the market, shows how different drivers are shaping how land is bought, sold and used, and provides a unique evidence base to help policymakers and those working across the sector make informed decisions.”
“The findings indicate Scottish rural land ownership is becoming more concentrated reinforcing the need for land reform to continue improving transparency, participation, and public value in a changing land market.”