Farmland sales are still on the rise across the region - although agents have noted a slowdown while rural businesses anxiously await the outcome of next week's budget.

According to the latest quarterly farmland survey from Savills, 18,757 acres of farmland were publicly marketed in the East of England up to the end of September – a 7.3pc rise on the same period last year.

It is the highest amount since 2018, as farmers seek to re-evaluate their assets in the face of mounting industry pressures.

However, rural property agents have seen sales "levelling off" in the last three months – with uncertainty around the government's upcoming budget on October 30 encouraging many farmers to delay their decisions.

Harry Kennedy, associate in the farm agency team at Savills in NorfolkHarry Kennedy, associate in the farm agency team at Savills in Norfolk (Image: Richard Marsham) Harry Kennedy, associate in the farm agency team at Savills in Norfolk, said: “The year has been fairly 'front-ended', with a lot of activity in the run up to the general election – largely driven by farmers selling smaller or off-lying blocks of land to help reduce their debts.

“Since the summer there’s been some levelling off because many farmers and landowners are biding their time and waiting to see what happens with the budget. That should give us a clearer direction of travel.

“If inheritance tax reliefs are revised it could affect succession planning and many farming businesses could well need to re-evaluate their position. Consequently it could lead to a number of larger family farms coming to the market next year and the year after.”

The Savills report also shows the recent growth in farmland values has cooled. In the East of England, there was a 3.3pc year-on-year drop to an average value of £9,290 per acre, compared to a national average of £8,792.

Mr Kennedy said many factors are likely to be responsible for this decrease.

“A slowdown in the development land market has led to fewer new rollover buyers, high interest rates have discouraged investment and recent poor weather and profitability challenges has led to a fall in confidence in the farming sector,” he said.

“Values have grown more where demand for commercial-scale units is exceeding supply and interest from non-farmers and amenity buyers is stronger.

"Farms with easier-to-manage soils have also proved popular and have drawn some rollover buyers. Values have fallen in regions where the market typically relies more on farmer buyers."