Land on Demand: Don’t Be a Blockbuster

Netflix revolutionised entertainment by making thousands of films and shows accessible for a small monthly fee. This model democratised entertainment, providing access to high-quality content at an affordable price for the masses.

AGR offers a similar vision for land. Instead of allowing land monopolies to hoard land—often leaving it unused—AGR ensures that the value of land is redistributed for the benefit of everyone, not just the wealthy few. Just as Netflix made entertainment accessible, AGR ensures that land—one of our most essential and finite resources—is used productively and fairly, providing access to housing, farming, or business space for those who need it most.

Sustainable and Productive Revenue for Governments

The Netflix model not only benefits consumers but also generates a steady and sustainable revenue stream for the company. Subscriptions provide Netflix with predictable income, allowing them to invest in more content and services. Similarly, Annual Ground Rent (AGR) offers governments a stable and reliable source of revenue.

By capturing the unearned value of land—value that grows due to public infrastructure and community investment—AGR allows governments to fund essential services without burdening individuals and businesses. Additionally, AGR encourages landowners to use land productively, discouraging speculative landholding and promoting development in areas where it’s most needed. For example, land in city centres would be put to better use, fostering new business and affordable housing, rather than being left idle.

Land as a Service (LaaS): A Vision for Sustainable Use

In recent years, we’ve seen the rise of Software as a Service (SaaS), where businesses no longer need to own expensive physical servers. Instead, they pay for access to shared infrastructure, making the model scalable, efficient, and cost-effective. The success of SaaS lies in its accessibility and ability to lower costs while encouraging efficiency—the same principles can be applied to land through AGR.

Land, unlike software, is finite—it cannot be created. This makes it an even more critical resource to manage effectively. AGR treats land as a shared public asset, ensuring that land is accessible to all, much like digital infrastructure is shared through SaaS. “Land as a Service” (LaaS) would allow individuals and businesses to access land while ensuring the community captures the value it creates.

Just as SaaS has reduced the need for businesses to maintain their own servers, LaaS ensures land is used efficiently and not left idle or underutilised. For example, underused land in cities could be taxed via AGR, incentivising owners to develop it into affordable housing or business spaces rather than letting it sit vacant.

Protecting Property Rights Under AGR

A common concern when it comes to land reform is the fear that property rights will be infringed upon. AGR respects individual property rights to buildings, improvements, and businesses, focusing only on the value of land itself. AGR doesn’t reduce your rights to your home or business; instead, it ensures that the unearned value of land is fairly shared through the rent collected by society.

Under AGR, your rights to improvements and structures remain fully intact. The only difference is that the unearned value of the land itself, created by community investment and public infrastructure, would be paid back to society through AGR. This makes the system fair and equitable without taking away property rights or devaluing businesses or homes.

The Economics of Land Subscription

The subscription model is one of the most efficient ways to manage shared resources. Netflix provides access to a vast library of content for a low monthly fee. Similarly, AGR encourages more productive land use by removing the incentive to hoard land for speculative purposes.

Land speculation drives up prices, making land unaffordable for housing, business, or farming. With AGR, land would be used based on need and productivity rather than hoarded for speculative gains. This reduces prices, increases access, and leads to more efficient land use—whether for housing, agriculture, or business.

A Fair and Stable Revenue Stream

Like Netflix, which generates predictable monthly income, AGR would provide governments with a stable, reliable revenue stream. Instead of relying on volatile taxes that discourage productivity, AGR ensures that government income comes from the value of land—a resource that holds its value over time.

This system would not only support public services but also help reduce inequality by ensuring that the wealth generated from land benefits all members of society, not just the few who own large tracts of land.

We Don’t Want to Be the Next Blockbuster

The story of Blockbuster’s failure to adapt to change is a cautionary tale. Once a dominant force in video rentals, Blockbuster failed to embrace streaming when the market changed. By the time they realised the shift, it was too late—Netflix had taken over, and Blockbuster collapsed.

As a nation, we don’t want to be the next Blockbuster—clinging to an outdated system that benefits a few while the majority struggle to access essential resources. If we don’t adapt our land system through AGR, we risk perpetuating a system that drives up inequality and stifles opportunity. Just as Netflix transformed entertainment, AGR can transform how we manage land—creating a fairer, more productive system for everyone.

Why Politicians Should See AGR as a Sustainable Solution

Politicians often hesitate to embrace land reform, seeing it as too radical or disruptive. But AGR is a practical, sustainable solution. AGR provides a steady revenue stream that can reduce the need for inefficient taxes. It promotes fair land use, reduces inequality, and ensures that everyone benefits from the value of land.

If politicians can understand the benefits of subscription models like Netflix or SaaS, they should be able to see the advantages of “Land as a Service” through AGR. It’s time to rethink land policy and adopt a model that works for everyone—not just a privileged few.

Call to Action: If you’re interested in how Annual Ground Rent can create a fairer, more sustainable society, visit the Scottish Land Revenue Group’s website and learn how you can support land reform in Scotland.

Written with the assistance of ChatGPT.