Scotland's 'forest ownership dominated by absentee owners'

The report says the Scottish Government’s current land reform initiatives have failed to tip the balance of forest ownership away from wealthy individuals and organisations, leaving local residents and organisations unable to compete when land comes on the market. 

Inequality of land ownership has increased a decade on from the last study, despite the Government’s land reform push. Just 164 people or companies own 75 per cent of forested land, analysis of four sample areas across Scotland suggests, compared to 199 owners in 2012.

WANT MORE ON THIS? 

• BrewDog and Gresham House forestry investment comes under fire
• Investor demand sees Gresham House fund reach £300m goal

By far the largest owner in these areas is Gresham House, which the Scottish National Investment Bank pledged to give £50 million for new woodland creation and forestry management.

The study, Forest Ownership in Scotland 2022 – released on Monday – was written by the former MSP, land reform campaigner and forester Andy Wightman, and Jon Hollingdale, former head of the Community Woodlands Association (CWA).

Among other points, the report claims: 

• There is no regulation or oversight about private forest ownership in Scotland;
• The Scottish picture is in stark contrast with other European countries, where forests are mostly owned by individual residents, farmers, co-operatives, and municipalities;
• Due to a lack of ownership transparency, it may also be difficult to track owners down. 

However, around a third of Scotland’s forests are owned by Scottish ministers on behalf of the public and managed by Forestry and Land Scotland (FLS). The report also outlined that the existing pattern had some advantages, including in boosting the timber supply chain. 

Former MSP and forester Andy Wightman penned the report (Image: PA)

Scottish Land and Estates, which represents landowners, including forestry and woodland owners and managers, rejected concerns laid out by the report.

Chief executive Sarah-Jane Laing said: “Forestry is a vital land use and is an industry that makes a substantial economic and environmental contribution to rural Scotland. There is a clear diversity of ownership from community bodies to estates to farmers, but the Scottish Government remains by far the largest forestry owner with more than 400,000 hectares.  

"Forestry plays a key role in the range of activities that are undertaken by estate businesses and for the government to reach its ambitious planting targets, it requires private investment from businesses such as estates.

"The forestry sector is already highly regulated and, as is the case with any landholding, there is ample legislation enabling communities to acquire land that becomes available to purchase.”

Stuart Goodall, chief executive at trade body Confor, said: "The sector in Scotland faces many challenges, including a secure future supply of wood and skills shortages..

"The sector is heavily influenced by government regulation and intervention, not least in land management where subsidies for agriculture need to be ‘bought out’ if a new woodland is to be created.

"A land owner cannot create a new woodland of scale without approval from Scottish Forestry (SF)." 

High-profile forester Andrew Heald took to X, formerly known as Twitter, to respond to the report, writing: "For the last 40 years or so, Scotland’s commercial forestry has been regularly criticised and timber value dismissed. It is hardly surprising, then, that forestry ownership is concentrated amongst a few organisations  and individuals, who understand its worth."

For the last forty years or so, Scotland’s commercial forestry has been regularly criticised & timber value dismissed.
It is hardly surprising then, that forestry ownership is concentrated amongst a few organisations & individuals, who understand its worth.

— Andrew Heald (@andyheald) November 20, 2023

While the report claims there has been no debate on forest ownership in Scotland, insiders point to a controversial suggestion from ministers a decade ago that did just that. In the wake of England's plan to sell the public forest estate, Scottish Government officials explored the idea of leasing off as much as a quarter of public woodland north of the border. But like the Conservative/Liberal Democrat coalition, the SNP was also forced to drop the idea amid a heated backlash.

At the time, then environment minister Roseanna Cunningham said: "After giving this serious consideration and in view of the comments we received, I have decided not to take leasing any further. On taking this decision we should be under no illusion that without the leasing option we now need to consider ways of raising funds in order to plant more trees."

Responding today to FPG document, a Scottish Government spokesperson said: “We remain committed to tackling the adverse effects of scale and concentration of land ownership, by continuing to improve transparency of ownership and control of land, and empowering communities in the process. 

Scotland's former environment minister Roseanna Cunningham had to bin plans to lease off Scotland's public forest land a decade ago

"Our work to improve transparency of ownership continues at pace through both our Register of Persons Holding a Controlled Interest in Land as well as our forthcoming Land Reform Bill.

“Communities in Scotland now have more options than ever before to take ownership of land and assets. Support is available from a variety of sources including the Scottish Land Fund and Forestry and Land Scotland’s Community Asset Transfer Scheme.

“Almost one third of our forests are administered by Forestry and Land Scotland (FLS) on behalf of the people of Scotland. This equates to almost nine per cent of Scotland’s total land area.”