The Scottish Parliament has passed significant land reform legislation with the aim of reducing the concentration of rural land ownership among a handful of individuals and empowering communities to have a greater say in local land matters. The bill introduces powers that could force the break-up of large estates exceeding 1,000 hectares when they are sold, aiming to diversify land ownership and support community buyouts.
At the heart of the new Land Reform (Scotland) Bill is a requirement for a “transfer test”—before any sale or transfer of a large estate, owners must seek ministerial approval, giving the government the authority to insist on subdivision of the land if it is deemed to be in the public interest. Sellers must also notify community organisations, offering them the chance to purchase land before it goes on the open market. Large landholders must now provide more information to local communities and publish management plans, with fines of up to £40,000 for non-compliance.
The bill was approved after extensive debate, passing with 85 MSPs in favour, 28 against, and nine abstaining. The reforms follow longstanding concerns, highlighted by land campaigners and former MSP Andy Wightman, that almost half of Scotland’s land is owned by just 420 individuals. While community land groups have described the legislation as a welcome step forward, they believe it falls short of transformative change and does not intervene sufficiently in the land market.
Opposition has come from landowner groups and several MSPs, who warn the changes could discourage rural investment and believe the new powers may infringe upon property rights. Critics describe the bill as impractical, with concerns over the clarity of what constitutes a “large” landholding and the potential for thresholds to be tightened further in future. Rural affairs spokespeople have also questioned the bill’s potential impact on rural businesses and tenancies.
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Rural Affairs Secretary Mairi Gougeon championed the legislation: “The reforms will enhance land ownership and management for the benefit of the many, not the few, and present real opportunities to revitalise Scotland’s rural communities.” She also described the reforms as “balanced and proportionate” in response to more radical proposals.
Scottish Conservative spokesperson Tim Eagle warned: “Unworkable and devastating: this legislation risks damaging rural enterprises and reducing the amount of land available for rent.”
The new law establishes a Land and Communities Commissioner to monitor its implementation and oversee compliance. Scottish Government ministers state that the changes will help ensure land is managed for the benefit of “the many, not the few,” revitalising rural communities and modernising land ownership for a more equitable future. However, debate continues on whether these reforms mark a transformative moment or simply a small step towards land justice in Scotland.
