Will lenders require security or personal guarantees for agriculture finance?

Yes, most UK agricultural finance involves a personal guarantee, security over the asset being funded, or both. Unsecured no-PG agricultural finance is rare because the sector is asset-heavy and lenders are well-protected by charges over land, machinery, growing crops or livestock.

By product type. Asset finance against tractors, combines, balers, sprayers, dairy parlours, grain stores: the asset is primary security, with a PG from the principal farmer or partner. Typical ticket £15,000 to £500,000 over 3 to 7 years. Land-secured term loan or commercial mortgage: first or second charge over farm land or buildings, plus PG. Typical ticket £150,000 to £5m+ over 10 to 25 years. Working capital cashflow loan: PG only for sub-£100k tickets, sometimes a debenture for larger facilities. Typical ticket £5,000 to £250,000 over 1 to 5 years. Livestock finance: PG plus charge over the herd or flock, sometimes with a chattel mortgage on specific identified animals.

UK Growth Guarantee Scheme protections. Where agricultural finance is taken under a GGS-backed structure, the PG cannot be secured against the borrower's primary residence. For farm businesses where the farmhouse is also the primary residence, this is a meaningful protection. See are there options backed by the UK Growth Guarantee Scheme for eligible pubs for the equivalent in hospitality (the GGS rules apply across sectors).

Specialist UK agricultural lenders include Oxbury Bank, the agricultural arms of Allica Bank, Aldermore and the high street banks. For machinery finance, Time Finance and Ultimate Finance underwrite tractors and plant against the asset itself.

See are personal guarantees or security required for agricultural finance and our personal guarantees explained guide.