Smallholdings in Leicestershire: Opportunities for Diversification

Smallholding diversification is becoming increasingly important in Leicestershire as landowners adapt to changing market pressures and new environmental priorities. While the county includes several busy urban centres, Leicestershire also boasts expensive rural landscapes that offer strong opportunities for smallholders to develop innovative, sustainable ventures that support both their income and the local environment.

As traditional land management evolves, many small-scale landowners are exploring new ways to maximise the potential of their plots. Well-designed diversification projects can strengthen smallholdings and create fresh revenue streams.

Diversification is no longer just an optional add-on; for many Leicestershire landowners, it has become an essential strategy for long-term viability. By developing new income streams alongside traditional farming, smallholders can reduce reliance on volatile agricultural markets, spread financial risk, and strengthen the resilience of their holdings.

This approach allows landowners to adapt more effectively to market changes, environmental considerations, and funding reforms, ensuring their businesses remain sustainable for the future. For those prepared to embrace new ideas and explore the full potential of their land, Leicestershire offers a wealth of opportunities to build stronger, more adaptable rural enterprises that are fit for the next generation.

The role of biodiversity net gain

One increasingly important opportunity for smallholdings in Leicestershire is biodiversity net gain (BNG). Introduced as part of government planning policy, BNG requires developers to ensure that land is left in a measurably better ecological condition after development than it was before. This policy is driving a growing demand for high-quality habitats and biodiversity units, creating new revenue streams for landowners who are able to provide suitable sites.

For smallholders in Leicestershire, BNG represents a practical way to generate additional income while actively improving local habitats. By creating or enhancing wildlife areas—such as wetlands, woodlands, hedgerows, wildflower meadows, or pond habitats—landowners can produce biodiversity units that developers purchase to meet their planning obligations. These long-term agreements are often highly compatible with ongoing agricultural operations, meaning that land can continue to be used productively while supporting biodiversity.

BNG also opens the door for land that is otherwise underutilised or less viable for traditional farming. Sloping fields, marginal pasture, or areas with poor soil can be transformed into high-value ecological habitats, contributing to regional biodiversity goals while generating a sustainable income. This approach not only strengthens the ecological value of the county’s countryside but also provides financial returns without disrupting day-to-day activities on the rest of the holding.

Nature-based diversification opportunities

Smallholdings in Leicestershire are exploring a range of nature-friendly and rural business ventures, including:

Agri-tourism and rural accommodation – The county’s rolling countryside offers strong  potential for visitor stays:

  • Glamping sites –yurts, glamping pods, or shepherd’s huts attract visitors looking for eco-friendly short breaks.
  • Camping or caravan pitches –low-cost entry points with scalable potential.

Renewable energy projects – Helping landowners reduce energy costs and generate income:

Leisure and wellbeing ventures – Meeting increasing demand for outdoor and wellness activities:

  • Equestrian facilities or riding lessons
  • Nature trails, cycling routes, or fishing lakes
  • Wellbeing retreats offering yoga, mindfulness, or nature-based therapy

Local food production and farm shops – Capitalising on the growing demand for local produce:

  • On-site farm shops selling home-grown goods
  • Supplying nearby markets, cafes, or restaurants

How can Collington Winter Assist?

Collington Winter works closely with smallholders and landowners across Leicestershire to unlock the full potential of their land. We understand that each property is unique, and our approach is tailored to meet the specific needs of your holding, whether you are looking to diversify income, enhance biodiversity, or develop sustainable projects that complement existing agricultural activity.

Our team of experienced ecologists and planning consultants provides practical, expert guidance at every stage. We start with a thorough assessment of your land to identify its strengths, constraints, and the opportunities that are most likely to deliver tangible economic and environmental benefits. This ensures that any diversification or enhancement project is carefully designed to be both viable and sustainable.

With our support, you can unlock the full potential of your land and achieve long-term environmental and economic benefits. To learn more about how our team can help, contact us today at info@collingtonwinter.co.uk or call 01204 939608 to discuss your land’s potential.

Contact Us

Registered Address

23 Bark Street East, 1st Floor, Bolton, BL1 2BQ

Cambridge Office

Future Business Centre, Cambridge Campus, Kings Hedges Road, Cambridge, CB4 2HY

Leicester Office

Rutland House, 23-25 Friar Lane, Leicester, LE1 5QQ

Bristol Office

Newminster House, 27-29 Baldwin Street, Bristol, BS1 1LT

Telephone

Head Office: 01204 939 608

Dumfries Office: 01387 378208

Get in touch
close slider