Protecting horses and land through trusts: a practical guide for owners

Owning horses and rural land is often more than a hobby; it’s a way of life, an investment, and, in many cases, a family legacy. Whether you run a stud farm, keep a few horses for personal enjoyment or own equestrian facilities, protecting these assets for the future is essential. One of the most effective ways to do this is through the use of trusts.

Why choose a trust?

A trust allows you to separate the legal ownership of an asset from its benefit. In practice, this means you can ensure your horses and land are managed according to your wishes, while protecting them from risks such as family disputes, financial claims, or inappropriate sales.

Key benefits of using a trust

• Asset Protection: Horses and land held in trust are generally shielded from individual beneficiaries’ creditors or relationship breakdowns.
• Succession Planning: You can set out exactly who benefits from the assets and in what circumstances, ensuring smooth transfer across generations.
• Tax Planning: With careful structuring, trusts can help maximise Agricultural Relief (APR) and Business Relief (BPR), reducing Inheritance Tax liabilities.
• Continuity of Care: Provisions can be included to ensure horses are cared for to specific standards and by trusted individuals.

How it works for horses and land

• Land & Facilities: The trust deed can restrict sale or development, maintain rights of way for equestrian use, and ensure income from land (such as grazing) is used for the upkeep of the property or animals.
• Horses: Ownership can be clearly recorded in the trust, with trustees authorised to make decisions on breeding, competing, or sale.

Real world example

A family with a small stud farm placed both the land and their breeding stock into trust. This meant that on the death of the principal owner, the farm continued to operate under the management of trusted individuals, with income supporting the family, rather than the property being sold off to pay tax or satisfy creditors.

Getting it right

Trusts for horses and land need to be drafted with precision. They must cover everything from who can make decisions about the animals, to how the land can be used or sold. Working with a solicitor experienced in both trust law and rural assets ensures your wishes are clear and enforceable.

If you would like to discuss how a trust could protect your horses and land, please contact Francesca Hayward at Furley Page for tailored advice.