Hobby farmers and equestrian buyers are active in the Welsh farmland market, many from Ireland and Scotland, according to one rural agent.

Savills says buyers from other UK nations are eyeing up the potential in farms in Wales for multiple reasons.

Its head of rural sales in south and west Wales Daniel Rees says one reason for the interest from this group of buyers, particularly equestrian buyers, is the opportunity to be “more strategically located to the competition circuit’’.

Others are just seeking more land and outbuildings.

But supply is limited compared to other parts of Great Britain, increasing by just 11% in Wales in first half of 2024, compared to 42% in Scotland and 37% increase in England.

Stock of farms and land is building up though, Mr Rees suggests.

“There is an excellent selection for sale for buyers in the market to look at and compare before making that final purchasing decision,’’ he says.

In terms of sales, the 2024 market in Wales had been slow “getting out of the blocks’’, and that trend continues.

“Since spring, there has been a steady stream of sales agreed but the market for the larger commercial farms has been slower than for the more residential/smaller/lifestyle farms,’’ says Mr Rees.

“Whilst farm buyers are out there, economic pressures are at the fore of decision making.’’

Although England and Scotland had seen a 1.7% increase in land values in the second quarter of 2024 compared to the same period in 2023, in Wales they dipped by that percentage.

The average value for all GB farmland at 30 June 2024 was £8,242 per acre compared to £8,101 at that point in 2023. Prime arable stands at £10,140 and average livestock land at £7,121.

Carter Jonas estate agents say the election had been a key talking point in the second quarter of 2024, but it did not disrupt market dynamics.

Instead, the industry is largely hopeful about the prospects of a post-election period of stability after months of election speculation and prolonged political instability, it adds.