asked the Minister for Lands if he will elaborate on his references (details supplied) regarding the long-term leasing of land.
Ceisteanna—Questions. Oral Answers. - Land Leasing.
28.
(Cavan): I am emphatically in favour of long-term leasing of land and as I said on the occasion referred to the Land Commission will readily give their approval to any leasing proposals that do not cut across land structural operations. I fully appreciate the defects of the current widespread practice of 11 months lettings and I have already given practical encouragement to leasing in the farmers retirement scheme. That scheme provides a special premium for any retiring farmer who leases his holding for a minimum of 12 years to a development farmer needing additional land. The premium amounts to twice the lease rent subject to a maximum of £3,000.
On the 12 years letting, people might not be inclined to lease for 12 years unless the leasing rent was in accordance with the index of the value of land from year to year. They do not like to lease it at a flat rate for 12 years because of inflation. Can anything be done about that? Could the rent be fixed at the true year-to-year value of the land?
(Cavan): It is a matter for agreement between the lessor and the lessee. The lease could provide that the rent would be revised every year or every two or three years. That is a matter for agreement in the lease or it could be tied to the cost of living index.
Is that generally known? Is that publicised enough?
(Cavan): I think most of these transactions involve solicitors and the Deputy may take it that every solicitor knows that that machinery is there.
Can the premium apply——
(Cavan): The premium would only apply to land surrendered under the retirement scheme but it is open to any owner to lease part of his land independently of the retirement scheme and the Land Commission would be willing and anxious to facilitate him so long as the transaction would not do any damage to the normal Land Commission practice.
Am I to take it from the Minister that a man in the ordinary course has not the right to lease his land for five or ten years?
(Cavan): He has, of course, unless the authority of the Land Commission is necessary. If the sub-letting is necessary the Land Commission would readily give their encouragement to it.