The Forest Market Review 2024

GB forestry market steadies after two-year dip

The commercial forestry market in Great Britain appears to be stabilising, with high-quality plantations maintaining strong values and cautious optimism within the sector, according to forestry and woodland specialists John Clegg & Co.

Its annual Forest Market Review shows that while there was a further softening of average values in 2024 – average plantation prices dropped by about 10% to £18,900/stocked hectare – there is a much more nuanced picture behind the headline figures.

“We continue to see strong prices paid for well-located, quality plantations – typically second-rotation spruce in southern Scotland,” says Simon Hart, Head of Forestry in Scotland. “Values of over £20,000/ha remain common, with peaks of £30,000/ha still being occasionally achieved.”
“The average yield class for forestry sold last year also changed significantly, dropping from 19.1 in 2023 to 16.2 in 2024. Lower-yielding crops are inevitably worth less, so this alone accounts for the apparent drop in average values when looking year-on-year.”

In 2024, 29 forests were sold in Great Britain during 2024, which is more than in 2023 (20) but below the five-year average (44). The total market value was a little under £94 million, over double the amount in 2023 (£45m), but below the five-year average (£151m). Sales prices averaged 107% of guide prices, a slight rise on 2023 levels but below historic trends, pointing to a steady but selective market. As is usual, the majority of forestry sold was in Scotland. In terms of the market outlook, Mr Hart says he is cautiously optimistic, with good properties continuing to sell well and new funds being drawn into UK forestry.

Market sentiment is perhaps hardening against more remote properties with low growth rates and often dominated by pine. With timber prices relatively flat, the increasing costs of harvesting and haulage had also hit net returns and this is increasingly being reflected in prices. However, at the same time, with global demand for timber rising and interest rates forecast to fall, the forestry fundamentals remain positive. The changes to Business Property Relief (BPR) which take effect in April 2026 were unexpected, but there has been no discernible impact on values so far. Meanwhile, tariff changes – particularly in the US – are being monitored, but again are not currently expected to have a major impact on UK pricing.

“We continue to see strong interest in good properties with a number of sales concluded or under offer in 2025 Q1 and new funds moving into the market. Overall, we see continued steady demand for woodlands and do not anticipate significant changes in values.” One of John Clegg & Co’s most recent launches is the Aberdeenshire Portfolio, which is a collection of eleven well-located, commercial and amenity woodlands, some with mature timber ready to harvest. The entire portfolio lies within approximately 30 miles of Aboyne, home to the largest commercial sawmill in Aberdeenshire. The woodlands are available as a whole, for offers over £955,000, or in up to 11 lots.

Editor’s note:

The Forest Market Review is based on completed sales of commercial forestry properties, so predominantly conifer, of 20 hectares or more in Great Britain which have been publicly and privately marketed in the calendar year. There will be off-market activity that is not recorded in the report because we are not aware of it.