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Bodfeurig Farm Cottage in Anglesey

According to Farmers Weekly, “Higher demand, coupled with concerns about post-Brexit support for agriculture, has made a farm diversification into letting cottages, barns, annexes and apartments more attractive”.

If you are a farmer or landowner and are looking to generate some extra income, then utilising existing buildings and land for the purpose of holiday letting could be an option for you. With the current demand for staycations being at an all time high, now is such a great time to start holiday letting.

What is farm diversification?

Farm diversification for existing farming businesses involves generating further revenue through a new avenue, such as holiday letting.

North Wales is blessed with lots of land and many farms, many of which have unused barns, outbuildings and space which can be utilised for holiday letting.

Whether it be a barn renovation, converting an outbuilding or making space for some glamping pods or shepherds huts, there’s plenty of options for you.

What are my options?

Building conversions

Probably one of the most popular options is to convert an existing outbuilding such as a barn, stable or cowshed into a holiday let.

Having an existing structure in place makes it easier in terms of turnaround time, although you may want to do some due diligence with a surveyor in terms of the condition of the building before proceeding.

These types of conversions are always popular with guests, as they offer a more traditional, rural holiday experience.

Some great examples can be seen here: The Outbuildings (Sleeps 14), Bryn Eira (Sleeps 10) & Hen Gilfach Stables (Sleeps 2)


The Outbuildings in Llangaffo

The Outbuildings – Ref: 1048267


Glamping & Shepherds Huts

In recent years, shepherds huts have increased in popularity. The fact many can be transportable, makes them ideal to move around farmland to find the perfect spot for a holiday.

These tend to be targeted more towards couples holidays due to the size, so bear that in mind when furnishing it.

Glamping pods tend to be the more luxury alternative to shepherd’s huts, but still retain that quaint & quirk edge.

Some great examples can be seen here:  Shepherds Huts – Just The Ewe of Us (Sleeps 2) & Llety’r Bugail (Sleeps 2)

Glamping  – Orchard Pod (Sleeps 2) & Woodland Pod (Sleeps 4)

Orchard Pod in Corwen, Denbighshire

Orchard Pod – Ref: 1053193


Log Cabins & Lodges

Log Cabins & Lodges are a great option for those looking for something simple and effective to add to their existing land.

Some great examples can be seen here:  Gardd Nainey (Sleeps 6) & Ffrwd Lodge (Sleeps 6)

What are the tax benefits?

As with any other business, holiday letting can bring a number of beneficial tax breaks.

If you register your property and meet the criteria to be classed as a Furnished Holiday Let (FHL), then you may be able to claim capital gains tax relief and small business rate relief as well as a number of other tax related benefits as outlined in our Furnished Holiday Lettings Tax Guide.

Will I need planning permission?

As with any building project you will need planning permission. Even if your venture involves converting an existing building, planning permission is still required, and you may also need to apply for a ‘change of use’. Your local council will be able to advise further on this.

Barns, Builders & Beautiful Views

Click HERE to read more about one of our property owners Susannah & Michael Brooke and their renovation journey of Bron Y Foel Farm.

Bron Y Foel Bach Holiday Cottage

Bron Y Foel Bach – Ref: 1008753


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