Agricultural law review 2025/2026: Key cases and legislation in 2025 and what’s ahead in 2026
The agricultural sector had a very busy 2025 in terms of legislation and exciting new case law, as well as in terms of policy developments and government announcements (which were addressed in more detail in part 1 of our review last week).
Within our Field Notes series, our Agricultural Dispute Resolution and Private Wealth Dispute specialists have unpacked the evolving proprietary estoppel landscape in Unkept Promises and in analyses of the lessons from Court consideration of assurances and detriment in Maile v Maile, of time-limited reliance in Scott v Scott, and of a “proprietary estoppel-ish” rationale for a partnership buy-out order in Cobden v Cobden. We also offered practical guidance on residential occupation by agricultural workers, farming tenancies and “handshake” arrangements. This part of our January Review pulls together our coverage over the year as well as allowing us to polish up our crystal ball to anticipate what new legal changes and developments are likely this year.
Key agricultural law cases in 2025 and why they matter
Proprietary estoppel cases: Maile v Maile and Scott v ScottMaile v Maile [2025] EWHC 2494 (Ch) (High Court, 6 October 2025)
The court analysed alleged assurances concerning farm succession, assessing reliance through years of on farm work and remuneration structures. Detriment was scrutinised against alternative career paths and unpaid/underpaid labour. Remedy was calibrated against proportionality principles post Guest v Guest, considering whether to award a lump sum, life interest, or conditional transfer.
Why it matters: contemporaneous documents and tax records carried significant weight. Align Wills and partnership agreements with any family “understandings” to reduce litigation risk.
Further reading: Maile v Maile; Unkept Promises.
Scott v Scott [2025] EWHC 2796 (Ch) (High Court, 29 October 2025)
The judgment examined the scope and duration of reliance, including periods where the claimant pursued non farm roles, and the adequacy of lifetime provision versus testamentary expectation. The court’s proportionality analysis considered benefit already conveyed and “detriment” in the context of time limited reliance (where benefit was rooted in the reliance period but crystallised later).
Why it matters: courts continue to resist windfalls where expectations substantially exceed inducements or where reliance was intermittent or remunerated. Document roles, remuneration and housing to avoid “informal detriment.”
Further reading: Scott v Scott; “handshake” arrangements
Land, tenancy and occupation: Nazir v Begum and Thomas v Countryside Solutions LtdNazir v Begum [2025] EWCA Civ 587 (Court of Appeal, 7 May 2025)
An interesting decision in relation to adverse possession in estate administration. Although not an agricultural holding, the court’s approach to adverse possession of trust property and estate administration offers transferable lessons for rural titles with historic occupation anomalies.
Why it matters: a timely reminder to audit boundaries and possessory risks ahead of transactions or refinance, emphasises the need for executors and trustees to manage estates appropriately.
Further reading: Adverse possession and estate administration: insights from Nazir v Begum
Thomas v Countryside Solutions Ltd ALD/SW/2020/014 (First Tier Tribunal, 16 October 2025)
On an application for succession to an AHA tenancy on the tenant’s death, the Tribunal gave detailed, careful consideration of how mixed income from both qualifying farming and non-farming/non-qualifying sources should be treated for the purposes of the applicant’s ability to satisfy the livelihood condition, and considers the extent to which the livelihood test needs to be met for an application to be treated as eligible, even if it technically isn’t.
Why it matters: For many modern farming families, diversification brings improved financial stability, but it can also make the AHA succession tests harder to meet. Income from contracting, renewables, or tourism may dilute the proportion of “qualifying” agricultural income, leaving successors short of the 51% threshold even when the family’s day-to-day focus is still the farm.
Further reading: Succession Stumbling Blocks: Lessons from Thomas v Countryside Solutions Ltd
Partnership law: Cobden v Cobden and Buy-Out OrdersCobden v Cobden [2025] EWCA Civ 1612 (Court of Appeal, 12 December 2025)
Important guidance from the Court of Appeal on partnership dissolution and where former partners may be ordered to buy each other out rather than sell assets on the open market. The dispute concerned one of the largest dairy units in the UK operated under a partnership at will between two brothers with equal shares; the trial judge, HHJ Russen KC, found “exceptional circumstances” grounded in a “proprietary estoppel ish” equity and valuation evidence justifying a buy out. The Court of Appeal agreed. A Syers order may be made where a sale would fail to achieve full value or would be unfair, and the categories are not closed, including where estoppel elements are proven.
Why it matters: equal partnerships (and unwritten agreements) are common in the farming community. This case gives an indication of when it may be possible to obtain a buy-out order. It is important to note that this is the only reported case in England and Wales in which a Court has ordered a buy out between equal partners.
Further reading: Cobden v Cobden: the Court of Appeal revisits exceptional circumstances and “proprietary estoppel-ish” equity on dissolution of a farming partnership
Public law and judicial review: Lessons from SFI/ELMS challenges and SFI/ELMS judicial review
While it was not ultimately pursued, The National Farmers' Union (NFU) co-ordination of a group of farmers to threaten judicial review in May 2025 against the government's abrupt closure of the Sustainable Farming Incentive (SFI) 2024 scheme has been widely credited with the partial U-turn and limited reopening of the scheme by the Department for Environment, Food and Rural Affairs (Defra). As Defra agreed to "retake" its decision and address some of the NFU's concerns the challenge did not need to proceed in the end.
Why it matters: if there are decisions that might be open to challenge it is important to preserve public law grounds while also progressing negotiation; diarise tight judicial review time limits, seek early advice.
Legislation and regulation changes in 2025
Arbitration Act 2025: Modernising agricultural dispute resolution
What changed: the Act modernises the 1996 framework with reforms including a tightening up or the courts’ ability to overturn jurisdictional awards, continuing disclosure obligations for arbitrators, boosted protection for arbitrators and inclusion of an express power to make summary awards. For agricultural disputes the Arbitration Act 2025 isn’t revolutionary, but it does introduce some tools that could speed up disputes and make challenges or appeals harder. The express power to make summary awards is of particular interest as, depending on how this is used and approached by rural arbitrators in practice, the power has the potential to impact the parties’ tactics in high-value Case B/development cases.
When it applies: in force from 1 August 2025.
Why it matters for farms and estates: arbitration is the default dispute resolution mechanism for many agricultural tenancy disputes and is prevalent in partnership disputes, construction projects on estates and valuation references. The reforms affect strategy on any interim applications, forum selection, urgent relief and costs.
Action: audit standard dispute clauses to check they do what you want and need them to in terms of provisions for arbitrator appointment, rules, any summary procedure opt ins and emergency arbitrator mechanisms.
Further reading: Arbitration Act 2025: what it means for farmers, landowners and rural disputes
Renters Rights Act 2025: Impact on estate housing and worker accommodation
What changed: the Act overhauls residential tenancies, moving to periodic assured tenancies as default, removed the “no fault” s21 notice process and revised grounds based possession and amends the Housing Act 1988 framework.
When it applies: staged commencement has begun. Our Real Estate and Real Estate Disputes team have launched an Essential Residential Hub to keep you up to date on all the latest changes and developments.
Why it matters for farms and estates: tied cottages, worker accommodation and mixed arrangements must be mapped to the correct regime, with possession strategy, notice forms and repair obligations updated.
Action: review licences and tenancies across estate housing; update policies and process documents; plan for possession pathways under the new grounds.
Further reading: the Residential Hub, plus What do agricultural landlords and workers need to know about the Renters’ Rights Act? and Renters Rights Bill: Key Information for Rural Landowners
Budget-driven tax and incentives: What changed for rural businesses
What changed: Budget measures included Budget measures affected income and corporation tax, inheritance tax, capital allowances, and council tax.
When will it apply: anticipated to apply from April 2026. The Finance (No.2) Bill is currently making its way through Parliament.
Why it matters: gives effect to tax changes
Action: coordinate legal structuring with tax advice; re paper partnership and shareholders’ agreements as needed.
Legal outlook for 2026: Key milestones and anticipated reforms
Key milestones will include staged commencements under the Renters Rights Act, any secondary legislation under the Arbitration Act and implementation of the Employment Rights Act 2025 as well as progression of the Finance (No.2) Bill.
Other changes and reviews we might expect include a consultation on banning trail hunting which was a Labour manifesto commitment, consideration of planning reform – which might include an extension of permitted development rights – and progression of the Law Commission’s reviews of the agricultural tenancy regime and of the use of arbitration in relation to trust disputes.
Practical checklist for farmers and landowners
- Review partnership agreements, shareholder agreements and Wills against any assurances and expectations discussed within the family.
- Update tenancy and occupation documents to address scheme participation, data sharing and consent mechanics.
- Refresh dispute resolution clauses across supply, construction and JV agreements in light of the Arbitration Act 2025.
- Audit residential occupation on farms and estates for compliance with the Renters Rights Act 2025 and transitional rules.
- Diarise 2026 scheme windows; assemble evidence for scheme claims and environmental compliance.
- Re forecast cashflow following the Spending Review and Budget; align capex with grants and tax measures.
Acknowledgements and contacts
This review draws on analysis from our Field Notes series and practice insights which benefit from contributions from our colleagues across agricultural dispute resolution, private wealth disputes, private property, real estate disputes, private client specialists and rural advisory teams. For tailored advice on any of the issues discussed, please give us a call and we would be happy to discuss how we can help.
