Brecon Beacons National Park Authority
Application No. 15/12615/OUT
Planning application for a
rural enterprise worker’s dwelling
on
Land adjacent to Pen-y-bont, Llangenny,
Crickhowell
NP8 1ST
Reading Agricultural Consultants
23 October 2015
1.
Introduction
1.01
Reading Agricultural Consultants Ltd (RAC) is instructed by Brecon Beacons National
Park Authority (BBNPA) to provide an independent assessment of an outline planning
application, submitted on behalf of Mr Graham Norton, for a rural enterprise worker’s
dwelling. The application is for a dwelling associated with an existing business on
land adjacent to Pen y Bont, near Llangenny, Crickhowell.
1.02
In response to these instructions RAC has had regard to:
i.
the Design and Access Statement (DAS) prepared by Betham Associates
(19th August 2015);
ii.
a labour requirement calculation (13th July 2015);
iii.
a breakdown of man hours required for the shepherd’s hut holiday let
(undated)
iv.
business accounts for GS Norton for the years ending 31st March 2014 and
2015; and for Penlan Farm Ltd for the year ending 31st October 2013;
v.
the business forecast to March 2018;
vi.
cattle sales and purchases for the period December 2013 to March 2015;
vii.
a field and cropping schedule;
viii.
the site and location plans; and
ix.
comments and observations made on a visit to the site (13th October 2015).
1.03
The material derived from these sources has been considered in the context of
Technical Advice Note (TAN) 6 Planning for Sustainable Rural Communities, July
2010.
2.
The Background
2.01
The applicant, Mr Norton, has been farming at Penlan since 2011. The farm extends
to some 57ha (141 acres) adjoining the open mountain leading to the Sugar Loaf.
An additional 11.7ha (29 acres) is farmed at the adjoining Gelli Rhydd; 1.2ha (3
acres) at Panteg (also contiguous); and 4ha (10 acres) of other land in various
parcels. In total there are some 24.3ha (60 acres) of woodland; 7ha (17.3 acres) of
barley with undersown grass as part of a Glastir environment scheme; and the
remainder is grassland.
2.02
All of the land is rented but none of the parcels has a tenancy agreement. The
applicant and his partner live at Penlan, which is also rented. The holding is owned
by a relative who wishes to have vacant possession on his return to the area in 2017.
At present they are unsure whether the land owner wishes to repossess the farmland.
2.03
Penlan has a Dutch barn, some distance from the dwelling, which is used to store
planked wood for drying; this extends to some 11m x 9m. One stone barn adjacent to
the dwelling is used for storage whilst another has been converted to holiday
accommodation.
2.04
Planning permission was approved in October 2012 (12/08123/FUL) for two
shepherd’s huts comprising one unit of temporary holiday accommodation to be
limited in use between 15th March and 15th November each year and these are sited
200m east of Penlan farmhouse.
2.05
The application site is located 550m north-west of Penlan farmhouse on land under
the ownership of the farmer living at Panteg. The applicant has indicated that the
owner of the land will sell him the 1ha block of land if planning permission is granted
but it is currently not fenced or separated from the remainder of the land.
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Figure 1. The application site with Panteg in the background.
2.06
Stocking on the holding at the time of RAC’s visit was:
i.
22 Red Devon cattle, two of which are suckler cows with their calves;
ii.
6 ewes;
iii.
1 sow; and
iv.
a small number of chickens for home consumption.
2.07
To date one animal has been slaughtered and sold as a trial exercise in order to
ascertain whether a meat box scheme was feasible. Two calves have been born on
the holding since commencement of the enterprise. It is anticipated that the five store
cattle will be ready for slaughter within the next 12 month.
2.08
The shepherd’s hut is let through a local agency on a weekly basis in the summer
and for long weekends in the winter with high levels of occupancy; similar
arrangements are in place for the barn conversion.
2.09
Through woodland management and collection of fallen trees both on and off holding,
the applicant produces planks and firewood. The planks are made into assorted
furniture by the applicant.
2.10
Some hay is produced on the holding. This is stored in a building on a neighbouring
holding in exchange for land maintenance.
3.
The Appraisal Framework
3.01
Welsh national guidelines for rural enterprise workers’ dwellings are contained in TAN
6, which was published in July 2010. This indicates that
“one of the few circumstances in which new isolated residential development
in the open countryside may be justified is when accommodation is required
to enable rural enterprise workers to live at, or close to, their place of work.”
3.02
Paragraph 4.4.1 of TAN 6 considers new dwellings on established enterprises and
states:
“New permanent dwellings should only be allowed to support established rural
enterprises providing:
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a.
there is a clearly established existing functional need;
b.
the need relates to a full-time worker, and does not relate to a part-time
requirement;
c.
the enterprise concerned has been established for at least three years,
profitable for at least one of them and both the enterprise and the business
need for the job, is currently financially sound, and has a clear prospect of
remaining so;
d.
the functional need could not be fulfilled by another dwelling or by
converting an existing suitable building already on the land holding
comprising the enterprise, or any other existing accommodation in the
locality which is suitable and available for occupation by the worker
concerned; and
e.
other normal planning requirements, for example siting and access, are
satisfied.”
4.
Assessment
4.01
As noted above, the conventional route for planning applications for new dwellings on
established rural enterprises is to satisfy the five tests contained within paragraph
4.4.1 of TAN 6. Before progressing through the TAN 6 tests it is apparent that there
are significant difficulties relating to the long-term prospects and security of the
business due to the lack of security of tenure of any land.
4.02
The main part of the land currently farmed by the applicant and the site of his current
home, Penlan, provides a large proportion of his land use and income. In addition,
the shepherd’s hut and holiday let are also on the farm. The farmhouse and possibly
the land will be taken back in hand within 18 months thereby losing these income
sources.
4.03
The other parcels of land have no tenancy agreements either. Whilst the applicant is
assured that this land will be available to him, there is no legal guarantee of this.
Likewise, whilst there may be other land blocks in the vicinity to replace any lost land,
there is similarly no guarantee that the owners will let this land to the applicant.
4.04
However, for the sake of completeness, the tests will be considered in order.
The Functional Test
4.05
The functional test examines whether it is essential for a worker to live on the site to
deal with any out-of-hours emergency requirements which could be anticipated and
due to which, if there was no presence, the viability of the business could be
jeopardised. This needs to be sustained throughout the year, rather than for a
discreet period within the year. Under the tests for an established business, these
needs have to be established rather than proposed.
4.06
In this case the functional need relates to two calvings since the inception of the
business in 2011 and to lambing five ewes.
4.07
Two calvings and five lambings are low intensity requirements and do not justify a
dwelling on their own merit.
4.08
Other tasks on the farm such as timber extraction, woodworking, fieldwork and
maintenance cannot justify a 24-hour presence for emergency needs.
4.09
Checking livestock in the fields is not a functional requirement. These are generally
undertaken during working hours as pre-planned events and can be undertaken by
farmworkers living away from the farm. Security of equipment and stock is not
considered to provide a need to live on-site.
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The Time Test
4.10
The REDA (rural enterprise dwelling appraisal) time test submitted with the
application appears to indicate that there is a current labour requirement of 2.0 fulltime workers on the holding, rising to 2.2 under current proposals. Of this some 64
standard man days are ascribed to livestock care, which equates to 0.2 of a full-time
worker. The majority of the work is associated with carpentry, woodland work and
replenishing/cleaning the shepherd’s hut – tasks which do not require an on-site
presence.
4.11
There is no essential need for a full-time worker on this holding.
The Financial Test
4.12
Paragraph 4.4.1(c) of TAN 6 is divided into four parts and states that the unit and the
agricultural activity concerned should:
i)
have been established for at least three years;
ii)
have been profitable for at least one of them;
iii)
be currently financially sound; and
iv)
have a clear prospect of remaining so.
4.13
The business has been operating since 2011, albeit initially under a company name,
but the applicant meets Point (i).
4.14
Business accounts for the past four years have been provided and on the face show
good net profits for the last three years although no rent has been included. The
applicant has explained that the rent was paid to the owner via another means.
However, if the foregone rent is subtracted there is still a profit- so Point (ii) is met.
4.15
There is a TAN 6 requirement to provide additional budgets for five years to
demonstrate that the business is likely to be financially sustainable. The applicant
has provided a three-year budget – up to 2018, which is beyond the date when he will
loose the occupancy of his rented dwelling and potentially Penlan – his main area of
land.
4.16
Apart from this, there appears to be an injection of cash into the business each year
which is artificially supporting the business.
4.17
For a business to be considered sound, as an absolute minimum it should be able to
provide its unpaid workers with a reward for their labour input after all costs are paid.
This cannot be achieved for this business.
4.18
Furthermore, forecast income has been based on the sale of each finished beef
animal at £2,500. This has not been achieved by the business as yet and is an
assertion which cannot be substantiated.
4.19
Under the current circumstances, with the details provided, it is not possible to
conclude that the business is financially sustainable and able to provide a living wage
for each of the unpaid worker “equivalents” required for the business, which in this
case the applicant asserts is two workers.
4.20
The size of a dwelling is also generally considered alongside the financial test.
4.21
Paragraph 4.10.2 of TAN 6 states that
“Dwellings which are unusually large in relation to the needs of the enterprise,
or unusually expensive to construct in relation to the income it can sustain in
the long-term, should not be permitted. It is the requirements of the enterprise
rather than of the owner or occupier which are relevant to determining the size
of dwelling that is appropriate.”
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4.22
The floor area is 200m2 and a cost of £188,700 is indicated for construction, which
would not be affordable to the business. It is the business which has to fund the
construction of the proposed dwelling rather than the personal wealth of the occupant
as the purpose of the dwelling is to serve the business.
Other Suitable and Available Accommodation
4.23
The application is remote from areas of residential accommodation and neighbouring
dwellings are large, and invariably very expensive when sold on the open market.
This is acknowledged.
4.24
The DAS states that there is a former dwelling at Penlan, Cwm Bwch Fach, but this is
derelict and so is unlikely to be suitable as a housing option, even if it was for sale. A
search of existing dwellings for sale or to rent has not been undertaken by the
applicant’s agent but it is noted that the cheapest dwelling close to the site was sold
for £410,000
4.25
An internet search of properties on www.rightmove.co.uk has shown that the
cheapest dwelling within 1 mile of the site is £195,000. There are no dwellings to
rent in this area.
5
Conclusion
5.1
The outline planning application for a rural enterprise worker’s dwelling on land
adjoining Pen y Bont, Llangenny is based upon land which has no security of tenure.
The proposed dwelling is to be sited on land which is not in the applicant’s ownership.
5.2
The proposed dwelling would have no associated buildings in which to house
livestock for monitoring purposes.
5.3
There is limited functional justification for a dwelling on the holding as the identified
needs are minimal.
5.4
The time requirement suggested in the application equates to a labour requirement of
two full-time workers. The labour attributable to livestock is only 0.2 full-time workers.
5.5
The business has been established for more than three years and has been
profitable in this time. However, land rental has not been included in the accounts.
5.6
Net profits cannot pay the unpaid workers a full-time worker’s wage and neither
would they fund the construction of the proposed dwelling.
5.7
There are no suitable and available dwellings to meet the identified need.
5.8
All parts of the test must be met and in this case they are not met.
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This report was prepared by:
I.D.Williams
BSc. (Hons), MA, MBIAC, AIEMA
Independent Consultant in Agriculture and Rural Land Use
Associate. Reading Agricultural Consultants
Member. British Institute of Agricultural Consultants
Associate. Institute of Environmental Management and Assessment
23 October 2015
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