Ireland needs to address the issue of land ownership and access to land as a national policy priority, rather than expecting the tax regime to police the area.
This is the view of former Teagasc collaborative farming specialist Ben Roche, and Mary Curtin from the University of Limerick (UL).
While Roche and Curtin accepted that the tax code has a role to play in supporting policy objectives, they said it could not be expected to work in isolation.
“Tax is frequently used as an incentive to change or alter behaviour which allows manipulation of the system and peoples’ practices,” said Curtin, who is assistant professor specialising in farming and land use at UL’s Kemmy Business School.
Wealthy
“If the desire is to stop wealthy individuals from buying too much land or distorting the market by increasing the price of land to a point where an average farmer can no longer compete, then changing stamp duty or tax rates will only do so much and might have a very small impact given the ‘deepness’ of the pockets of the individuals and companies you are trying to deter,” she maintained.
Roche, who led and managed the establishment of farm partnerships with Teagasc, said Ireland needed a national debate on land ownership.
The absence of a national policy or strategy on land ownership had facilitated the entry of investors and the super rich into the market for farmland, he claimed.
“We need to sit down and devise a national policy on land ownership. Running away from the issue or doing nothing is not the answer,” Roche insisted.
“Maybe what is needed is a stakeholder group involving all the various interested parties. People who have the future of farmers and farming as their focus,” he added.
Roche pointed to the experience of France in the years after World War II.
“The French looked at their land ownership and land use models in the years after the war when the country and the economy was totally battered.
“They assessed where they wanted France to go, and looked at the extremes – the US with its completely capitalist system and the USSR with its State control – and opted for something in the middle,” he explained.
Roche is not advocating that Ireland mirrors the French system, but he said that policy should be framed so that “access to land and land usage is prioritised for farmers and farming”.
The historic struggle of land ownership
Land ownership in Ireland cannot be assessed from a purely economic standpoint, according to Mary Curtin from UL.
It has to be examined in the context of the historic struggle for ownership, and the traditional family farm model that is the mainstay of Irish farming.
“Land is of significant importance in the Irish psyche.
“Through the centuries, land has been a crucial element in economic, social, political and cultural change,” Curtin pointed out.
“But it has also been a source of conflict and discontent,” she conceded.
“I’m the seventh generation on the farm at home, but we’ve only owned the land for just over 100 years,” she explained. Curtin is from a suckler farm.
“The title deeds of the farm mean a lot to my father, because he understands the struggle to get our name on those deeds,” she added.
However, Curtin maintained that this traditional family farm model risked being collateral damage if the land ownership issue is not addressed.
“Irish farming is a family farm system, and we market our products as such.
“Do we want to lose our unique selling point? Lose our Irish identity?” she asked.
Is a new Land Commission needed?
Mary Curtin believes that a body with powers like those of the Land Commission may be needed to regulate land ownership.
The Land Commission was established in 1881 and essentially regulated land ownership primarily through the distribution of land from large estates.
It was popular with smaller landholders and equally unpopular with larger landowners.
“There is a precedent for the State intervening in who owns land,” the UL academic said.
“The Irish Land Commission was responsible for re-distributing a significant amount of farmland in Ireland and was not formally abolished until 1999,” she explained.
Significant loss
“It wasn’t perfect and ran at a significant loss to the State during its final years.
“But from the standpoint of the common good, it was really beneficial for the country. It was a positive entity,” Curtin maintained.
“In terms of what is best for the common good, significant amounts of land being bought by private individuals is not ideal,” she said.
Ireland needs to address the issue of land ownership and access to land as a national policy priority, rather than expecting the tax regime to police the area.
This is the view of former Teagasc collaborative farming specialist Ben Roche, and Mary Curtin from the University of Limerick (UL).
While Roche and Curtin accepted that the tax code has a role to play in supporting policy objectives, they said it could not be expected to work in isolation.
“Tax is frequently used as an incentive to change or alter behaviour which allows manipulation of the system and peoples’ practices,” said Curtin, who is assistant professor specialising in farming and land use at UL’s Kemmy Business School.
Wealthy
“If the desire is to stop wealthy individuals from buying too much land or distorting the market by increasing the price of land to a point where an average farmer can no longer compete, then changing stamp duty or tax rates will only do so much and might have a very small impact given the ‘deepness’ of the pockets of the individuals and companies you are trying to deter,” she maintained.
Roche, who led and managed the establishment of farm partnerships with Teagasc, said Ireland needed a national debate on land ownership.
The absence of a national policy or strategy on land ownership had facilitated the entry of investors and the super rich into the market for farmland, he claimed.
“We need to sit down and devise a national policy on land ownership. Running away from the issue or doing nothing is not the answer,” Roche insisted.
“Maybe what is needed is a stakeholder group involving all the various interested parties. People who have the future of farmers and farming as their focus,” he added.
Roche pointed to the experience of France in the years after World War II.
“The French looked at their land ownership and land use models in the years after the war when the country and the economy was totally battered.
“They assessed where they wanted France to go, and looked at the extremes – the US with its completely capitalist system and the USSR with its State control – and opted for something in the middle,” he explained.
Roche is not advocating that Ireland mirrors the French system, but he said that policy should be framed so that “access to land and land usage is prioritised for farmers and farming”.
The historic struggle of land ownership
Land ownership in Ireland cannot be assessed from a purely economic standpoint, according to Mary Curtin from UL.
It has to be examined in the context of the historic struggle for ownership, and the traditional family farm model that is the mainstay of Irish farming.
“Land is of significant importance in the Irish psyche.
“Through the centuries, land has been a crucial element in economic, social, political and cultural change,” Curtin pointed out.
“But it has also been a source of conflict and discontent,” she conceded.
“I’m the seventh generation on the farm at home, but we’ve only owned the land for just over 100 years,” she explained. Curtin is from a suckler farm.
“The title deeds of the farm mean a lot to my father, because he understands the struggle to get our name on those deeds,” she added.
However, Curtin maintained that this traditional family farm model risked being collateral damage if the land ownership issue is not addressed.
“Irish farming is a family farm system, and we market our products as such.
“Do we want to lose our unique selling point? Lose our Irish identity?” she asked.
Is a new Land Commission needed?
Mary Curtin believes that a body with powers like those of the Land Commission may be needed to regulate land ownership.
The Land Commission was established in 1881 and essentially regulated land ownership primarily through the distribution of land from large estates.
It was popular with smaller landholders and equally unpopular with larger landowners.
“There is a precedent for the State intervening in who owns land,” the UL academic said.
“The Irish Land Commission was responsible for re-distributing a significant amount of farmland in Ireland and was not formally abolished until 1999,” she explained.
Significant loss
“It wasn’t perfect and ran at a significant loss to the State during its final years.
“But from the standpoint of the common good, it was really beneficial for the country. It was a positive entity,” Curtin maintained.
“In terms of what is best for the common good, significant amounts of land being bought by private individuals is not ideal,” she said.
SHARING OPTIONS