Naghshineh: Significant sideways losses denial upheld

A recent Court of Appeal judgment Ardeshir Naghshineh v CRC [2022] EWCA Civ 19 is of huge importance for the farming industry and those farmers making continued losses from the actual farming operation. The judgment on 13 January 2022 comes at a time when the farming industry is going through significant change and is faced with much uncertainty. It is ironic that the findings of the case are published in the same month as the House of Commons’ Committee of Public Accounts report on the environmental land management scheme (ELMS). The report is damning about the work by the Department for Environment Food and Rural Affairs (DEFRA) so far stating: ‘The department has not established metrics or clear objectives which would allow it to measure the success of the scheme.’

The history of the case starts with the First-tier Tribunal (FTT) allowing sideways loss relief...