Bold and practical steps from both the UK and Scottish Governments are crucial to unleashing the potential of Scotland's rural economy, according to Scottish Land & Estates (SLE).

The rural business organisation made this powerful appeal at its Annual Conference in Edinburgh, where Deputy First Minister and Cabinet Secretary for Economy, Kate Forbes MSP, delivered the keynote address on the future of the rural economy.

Prior to Forbes' address, SLE Chair Dee Ward emphasised the need to harness "the resources, the ingenuity, and the resilience" of estates, stressing that years of legislative upheaval, policy instability, and overly restrictive regulation are hindering growth.

"If Scotland is serious about achieving net zero, reversing rural depopulation, and securing food resilience, then rural policy cannot be treated as an afterthought. It must be central to our national agenda," said Dee Ward. "The time has come to release the handbrake on the rural economy. We're not asking for special treatment – we're calling for intelligent, enabling decisions that reflect the realities of delivering sustainable change on the ground."

Ward acknowledged recent positive signs, such as changes to the Housing Bill and the reconsideration of the proposed ban on wood-burning stoves, which he believes indicate a more pragmatic approach from the Scottish Government. However, he warned that "unworkable land reform measures pose a significant test."

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"Scotland's estates are ready to continue delivering national priorities – whether that's restoring nature, providing homes, supporting sustainable farming, or tackling climate change," Ward asserted. "But to do so, we need a stable policy environment that encourages long-term investment, innovation and collaboration. If our policies match our ambitions, rural Scotland can lead the way in delivering economic growth and environmental recovery."

Deputy First Minister Kate Forbes MSP affirmed the Scottish Government's commitment to rural businesses, highlighting their essential role in environmental outcomes, food production, and renewable energy. She stated: "In Scotland, we are committed to maintaining reformed direct payments, supporting food production and providing vital stability and support to our rural communities and businesses. We will continue to work closely with the industry to develop new support with them, improving sustainability in areas such as farming, food production, forestry and peatland restoration."

However, Forbes also voiced concern over the UK Government's decision to reform inheritance tax, describing its impact as "chilling and stressful." She pledged to continue urging the Chancellor to reverse this decision, which she believes "reduces productivity, fights against growth and creates uncertainty."

SLE reiterated its strong opposition to the UK Government's intention to apply inheritance tax to farming businesses, warning that such a move would severely undermine food production, environmental progress, generational succession, and the stability of rural livelihoods.

Sarah-Jane Laing, Chief Executive of Scottish Land & Estates, elaborated on this concern: "Farming is at the heart of Scotland's rural economy and national food security. Our farmers and land managers are producing high-quality food while also delivering on nature, climate and community goals – often under immense financial and regulatory pressure. The UK Government's refusal to reconsider its planned changes on inheritance tax is deeply concerning. These businesses rely on long-term planning and generational succession. Removing existing reliefs would undermine investment, disrupt business continuity, and threaten the viability of farms across Scotland."

Laing concluded by urging UK Ministers to recognise that this is not merely a tax change, but "a potential blow to food production, rural employment and future farming resilience. The focus should be on supporting, not penalising, those working to secure our food system for the next generation."