**Document:** Farm Profitability Report **Application:** 08/00369/B — Erection of a farm worker's dwelling with detached garage **Decision:** Permitted **Decision Date:** 2008-07-25 **Parish:** Lezayre **Document Type:** report / planning_statement **Source:** https://planningportal.im/a/85200-lezayre-field-134898-narradale-garage-dwelling/documents/1567450 --- # Farm Profitability Report ## Chief Secretary'S Office Oik yn Ard-Scrudeyr PLANNING APPEALS OFFICE Government Office DOUGLAS Isle of Man IM1 3PN Direct Line: (01624) 685280 Fax Number: (01624) 685710 E-mail: planning.appeals@gov.im CHIEF SECRETARY M Williams, CPFA 17th October 2008 Planning Secretary Planning And Building Control Division Murray House Mount Havelock Douglas Dear Sir/Madam, TOWN AND COUNTRY PLANNING (DEVELOPMENT PROCEDURE) ORDER 2005 Planning Application: 08/00369/B Applicant: C W H H Ltd Proposal: Appeal against approval for erection of a farm worker's dwelling with detached garage, Field 134898 Narradale Sulby Isle Of Man Further to my letter of 10th October concerning the above captioned appeal, please find enclosed further written submissions. Yours faithfully, A Johnstone Planning Appeals Administrator Encl. Private and Confidential ## Mr C.W.H Huxham ### Application for planning approval to build an agricultural worker's dwelling at Narradale, Sulby ### Farm Profitability and Management and Investment Income ## Index Introduction Page 1 The Agricultural Business Page 1 Farm Profitability Assumptions Page 1 Calculations Page 2 Conclusion Page 2 ### Appendices Farm Profitability and Management \& Investment Income Livestock Reconciliations and Valuations Appendix 1 Appendix 2 ## Mr C.W.H Huxham, Narradale, Sulby, Isle of Man ### Application for planning approval to build an agricultural worker's dwelling at Narradale #### Introduction This report has been prepared to assess the likely profitability of the farming business at Narradale; this has then been used to calculate the possible management and investment income. The calculations have been prepared using information supplied by DAFF which includes acreages, stock levels, lambing percentages and possible land classification with regard to single farm payments. Other information used relates to standard agricultural figures adjusted to local prices and farming practices. #### The Agricultural Business The farm totals 177 acres of permanent pasture and/or long term leys and rises from 200 metres to over 250 metres above sea level. Some of the land currently appears to be suitable for rough grazing although other fields could be cut for silage. The land currently supports 20 beef cows and 120 ewes. It appears that the farm policy is to finish as many lambs on the farm rather than selling them as stores. #### Farm Profitability Assumptions To calculate the farm profitability several assumptions have had to be made. **Agricultural subsidies:** It is unknown what subsidies Mr C Huxham would be eligible for on this land because from April 2009 payments will relate partly to historical payments and in the case of finished beef and lamb partly to quality. To arrive at a more accurate figure the calculations have been made assuming the proposed higher level Single Farm Payment amount of £80/acre. DAFF have indicated that the farm is likely to benefit from the "below the mountain wall" rate even though most of the fields are above the 200m contour. **Stocking Levels:** Due to the current quality of grazing and the very high costs to improve grassland, it has been assumed that the stocking levels provided by DAFF will remain the same. The information provided by DAFF indicates a possible increase in ewe numbers but it is unclear to what level. **Sheep:** Standard ewe replacement figures have been used in the calculations i.e. 28%. Of the remainder of the live lambs, it has been assumed that 65% will be finished on the farm and the rest sold as stores. **Beef Cattle:** Due to the condition of the fields and the altitude it is likely that the cattle will be sold as stores in the autumn. **Overheads:** These have been calculated using local and where applicable standard figures. It is unknown if there are any rents to be paid on the land so a notional figure of £30/acre has been included. To arrive at a management and investment income, £9700 of labour has been included. This has been calculated from DAFF's calculation which shows the farm requires 0.77 labour units and the minimum agricultural wage as at October 2008. ## Calculations (See Appendix 1 and 2) The farm should return a small profit of $£ 2290$ each year with the current stocking levels. Labour, either the farmers or hired in would cost $£ 9700$ and therefore there would be no return for the farmer's management or investment in the business. Increase sheep stocking levels will increase income by about $£ 1000$ especially if the lambs can be finished but some of this will be offset by the extra costs required to improve the grazing. ### Conclusion The farm in its current situation and farmed as a single unit is not a profitable proposition without considerable amounts of investment. Management and Investment Income [Table omitted in markdown export] Livestock Reconciliations [Table omitted in markdown export] Livestock Valuations [Table omitted in markdown export] [Table omitted in markdown export] --- *Data sourced from the Isle of Man public planning register under the [Isle of Man Open Government Licence](https://www.gov.im/about-this-site/open-government-licence/).* *Canonical page: https://planningportal.im/a/85200-lezayre-field-134898-narradale-garage-dwelling/documents/1567450*