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(1)Where the landlord of an agricultural holding has, whether before or after the commencement of this Act, carried out on the holding an improvement (whether or not one for the carrying out of which compensation is provided for under Part IV of this Act)—
(a)at the request of, or in agreement with, the tenant,
(b)in pursuance of an undertaking given by the landlord under section 39(3) of this Act, or
(c)in compliance with a direction given by the Secretary of State under powers conferred on him by or under any enactment,
subject to subsections (2) and (3) below, the rent of the holding shall, if the landlord by notice in writing served on the tenant within 6 months from the completion of the improvement so requires, be increased as from the completion of the improvement by an amount equal to the increase in the rental value of the holding attributable to the carrying out of the improvement.
(2)Where any grant has been made to the landlord out of moneys provided by Parliament, in respect of an improvement to which subsection (1) above applies, the increase in rent provided for by that subsection shall be reduced proportionately.
(3)Any question arising between the landlord and the tenant in the application of this section shall be determined by arbitration.
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