The total income from farming in the United Kingdom generally rose between 2000 and 2024, despite some fluctuations. In 2022, income peaked at 8.02 billion British pounds. In 2024, the total income from farming amounted to 7.69 billion British pounds.

Information on farm household income and farm household composition. Source agency: Environment, Food and Rural Affairs Designation: National Statistics Language: English Alternative title: Farm Household Income and Household Composition, England If you require the datasets in a more accessible format, please contact fbs.queries@defra.gsi.gov.uk Background and guidance on the statistics Information on farm household income and farm household composition was collected in the Farm Business Survey (FBS) for England for the first time in 2004/05. Collection of household income data is restricted to the household of the principal farmer from each farm business. For practical reasons, data is not collected for the households of any other farmers and partners. Two-thirds of farm businesses have an input only from the principal farmer’s household (see table 5). However, details of household composition are collected for the households of all farmers and partners in the business, but not employed farm workers. Data on the income of farm households is used in conjunction with other economic information for the agricultural sector (e.g. farm business income) to help inform policy decisions and to help monitor and evaluate current policies relating to agriculture in the United Kingdom by Government. It also informs wider research into the economic performance of the agricultural industry. This release gives the main results from the income and composition of farm households and the off-farm activities of the farmer and their spouse (Including common law partners) sections of the FBS. These sections include information on the household income of the principal farmer’s household, off-farm income sources for the farmer and spouse and incomes of other members of their household and the number of working age and pensionable adults and children in each of the households on the farm (the information on household composition can be found in Appendix B). This release provides the main results from the 2013/14 FBS. The results are presented together with confidence intervals. Survey content and methodology The Farm Business Survey (FBS) is an annual survey providing information on the financial position and physical and economic performance of farm businesses in England. The sample of around 1,900 farm businesses covers all regions of England and all types of farming with the data being collected by face to face interview with the farmer. Results are weighted to represent the whole population of farm businesses that have at least 25 thousand Euros of standard output as recorded in the annual June Survey of Agriculture and Horticulture. In 2013 there were just over 58 thousand farm businesses meeting this criteria. Since 2009/10 a sub-sample of around 1,000 farms in the FBS has taken part in both the additional surveys on the income and composition of farm households and the off-farm activities of the farmer and their spouse. In previous years, the sub-sample had included over 1,600 farms. As such, caution should be taken when comparing to earlier years. The farms that responded to the additional survey on household incomes and off-farm activities of the farmer and spouse had similar characteristics to those farms in the main FBS in terms of farm type and geographical location. However, there is a smaller proportion of very large farms in the additional survey than in the main FBS. Full details of the characteristic of responding farms can be found at Appendix A of the notice. For further information about the Farm Business Survey please see: https://www.gov.uk/government/organisations/department-for-environment-food-rural-affairs/series/farm-business-survey Data analysis The results from the FBS relate to farms which have a standard output of at least 25,000 Euros. Initial weights are applied to the FBS records based on the inverse sampling fraction for each design stratum (farm type by farm size). These weights are then adjusted (calibration weighting) so that they can produce unbiased estimators of a number of different target variables. Completion of the additional survey on household incomes and off-farm activities of the farmer and spouse was voluntary and a sample of around 1,000 farms was achieved. In order to take account of non-response, the results have been reweighted using a method that preserves marginal totals for populations according to farm type and farm size groups. As such, farm population totals for other classifications (e.g. regions) will not be in-line with results using the main FBS weights, nor will any results produced for variables derived from the rest of the FBS (e.g. farm business income). Accuracy and reliability of the results We show 95% confidence intervals against the results. These show the range of values that may apply to the figures. They mean that we are 95% confident that this range contains the true value. They are calculated as the standard errors (se) multiplied by 1.96 to give the 95% confidence interval. The standard errors only give an indication of the sampling error. They do not reflect any other sources of survey errors, such as non-response bias. For the Farm Business Survey, the confidence limits shown are appropriate for comparing groups within the same year only; they should not be used for comparing with previous years since they do not allow for the fact that many of the same farms will have contributed to the Farm Business Survey in both years. Availability of results This release contains headline results for each section. The full set of results can be found at: https://www.gov.uk/government/organisations/department-for-environment-food-rural-affairs/series/farm-business-survey#publications Defra statistical notices can be viewed on the on the statistics pages of the Defra website at https://www.gov.uk/government/organisations/department-for-environment-food-rural-affairs/about/statistics. This site also shows details of future publications, with pre-announced dates. Data Uses Data from the Farm Business Survey (FBS) are provided to the EU as part of the Farm Accountancy Data Network (FADN). The data have been used to help inform policy decisions (e.g. Reform of Pillar 1 and Pillar 2 of Common Agricultural Policy) and to help monitor and evaluate current policies relating to agriculture in England (and the EU). It is also widely used by the industry for benchmarking and informs wider research into the economic performance of the agricultural industry. User engagement As part of our ongoing commitment to compliance with the Code of Practice for Official Statistics http://www.statisticsauthority.gov.uk/assessment/code-of-practice/index.html, we wish to strengthen our engagement with users of these statistics and better understand the use made of them and the types of decisions that they inform. Consequently, we invite users to make themselves known, to advise us of the use they do, or might, make of these statistics, and what their wishes are in terms of engagement. Feedback on this notice and enquiries about these statistics are also welcome. Definitions Household income of the principal farmer Principal farmer’s household income has the following components: (1) The share of farm business income (FBI) (including income from farm diversification) attributable to the principal farmer and their spouse. (2) Principal farmer’s and spouse’s off farm income from employment and self-employment, investment income, pensions and social payments. (3) Income of other household members. The share of farm business income and all employment and self-employment incomes, investment income and pension income are recorded as gross of income tax payments and National Insurance contributions, but after pension contributions. In addition, no deduction is made for council tax. Household A household is defined as a single person or group of people living at the same address as their only or main residence, who either share one meal a day together or share the living accommodation. A household must contain at least one person who received drawings from the farm business or who took a share of the profit from the business. Drawings Drawings represent the monies which the farmer takes from the business for their own personal use. The percentage of total drawings going to each household is collected and is used to calculate the total share of farm business income for the principal farmer’s household. Mean Mean household income of individuals is the ”average”, found by adding up the weighted household incomes for each individual farm in the population for analysis and dividing the result by the corresponding weighted number of farms. In this report average is usually taken to refer to the mean. Percentiles These are the values which divide the population for analysis, when ranked by an output variable (e.g. household income or net worth), into 100 equal-sized groups. E.g. twenty five per cent of the population would have incomes below the 25th percentile. Median Median household income divides the population, when ranked by an output variable, into two equal sized groups. The median of the whole population is the same as the 50th percentile. The term is also used for the midpoint of the subsets of the income distribution Quartiles Quartiles are values which divide the population, when ranked by an output variable, into four equal-sized groups. The lowest quartile is the same as the 25th percentile. The divisions of a population split by quartiles are referred to as quarters in this publication. Quintiles Quintiles are values which divide the population, when ranked by an output variable, into five equal-sized groups. The divisions of a population split by quintiles are referred to as fifths in this publication. Assets Assets include milk and livestock quotas, as well as land, buildings (including the farm house), breeding livestock, and machinery and equipment. For tenanted farmers,

This statistic illustrates the average income per farm of mixed farms in the United Kingdom from 2009/10 to 2022/23. 'Mixed' farming refers to farms undertaking different types of farming, such as arable and livestock farming. In the accounting period to 2022/23, the average income per such farm was estimated at approximately ****** British pounds. Additionally, the average business income per farm in the United Kingdom following.

This statistic presents the average income per farm from dairy farming in the United Kingdom (UK) from 2009/10 to 2022/23. In the accounting year 2022/23, dairy farms generated an average income of ******* British pounds each. Additionally, the average business income per farm in the United Kingdom can be found at the following.

This release presents the main results from an analysis of the profitability and resilience of farms in England using data from the Farm Business Survey. Six measures have been examined; liabilities, net worth, gearing ratios, liquidity, net interest payments as a proportion of Farm Business Income and Return on Capital Employed (ROCE). Link to main notice: https://www.gov.uk/government/collections/farm-business-survey#documents Survey details The Farm Business Survey (FBS) is an annual survey providing information on the financial position and physical and economic performance of farm businesses in England. The sample of around 1,900 farm businesses covers all regions of England and all types of farming with the data being collected by face to face interview with the farmer. Results are weighted to represent the whole population of farm businesses that have at least 25 thousand Euros of standard output as recorded in the annual June Survey of Agriculture and Horticulture. In 2012 there were just over 56 thousand farm businesses meeting this criteria. The data used for this analysis is from only those farms present in the Farm Business Survey (FBS) for 2010/11 to 2012/13. Those entering or leaving the survey in this period have been excluded. The sub sample consists of around 1490 farms. For further information about the Farm Business Survey please see: https://www.gov.uk/government/organisations/department-for-environment-food-rural-affairs/series/farm-business-survey Data analysis The results from the FBS relate to farms which have a standard output of at least 25,000 Euros. Initial weights are applied to the FBS records based on the inverse sampling fraction for each design stratum (farm type by farm size). These weights are then adjusted (calibration weighting) so that they can produce unbiased estimators of a number of different target variables. All data in this release is based on farms present in the FBS for 2010/11 to 2012/13 and that have complete returns on their assets and liabilities. Those entering or leaving the survey in this period have been excluded. This sub sample consists of around 1490 farms. The results for this subsample have been reweighted using a method that preserves marginal totals for populations according to farm type and farm size groups. As such, farm population totals for other classifications (e.g. regions) will not be in-line with results using the main FBS weights, nor will any results produced for variables derived from the rest of the FBS (e.g. farm business income). Measures represent a three year average from 2010-2013, presented in 2012/2013 prices (uprated according to RPI inflation). This helps to stabilise the fluctuations in income that can significantly change the financial position of a farm from year to year. ? Accuracy and reliability of the results We show 95% confidence intervals against the results. These show the range of values that may apply to the figures. They mean that we are 95% confident that this range contains the true value. They are calculated as the standard errors (se) multiplied by 1.96 to give the 95% confidence interval (95% CI). The standard errors only give an indication of the sampling error. They do not reflect any other sources of survey errors, such as non-response bias. For the Farm Business Survey, the confidence limits shown are appropriate for comparing groups within the same year only; they should not be used for comparing with previous years since they do not allow for the fact that many of the same farms will have contributed to the Farm Business Survey in both years. We have also shown error bars on the figures in this notice. These error bars represent the 95% confidence intervals (as defined above). For the FBS, where figures are based on less than 5 observations these have been suppressed to prevent disclosure and where they are based on less than 15 observations these have been highlighted in the tables. Availability of results Defra statistical notices can be viewed on the Food and Farming Statistics pages on the Defra website at https://www.gov.uk/government/organisations/department-for-environment-food-rural-affairs/about/statistics. This site also shows details of future publications, with pre-announced dates. Definitions Mean The mean (average) is found by adding up the weighted variable of interest (e.g. liabilities or net worth) for each individual farm in the population for analysis and dividing the result by the corresponding weighted number of farms. In this report average is usually taken to refer to the mean. Percentiles These are the values which divide the population for analysis, when ranked by an output variable (e.g. ROCE or net worth), into 100 equal-sized groups. For example, twenty five per cent of the population would have incomes below the 25th percentile. Median The median divides the population, when ranked by an output variable, into two equal sized groups. The median of the whole population is the same as the 50th percentile. Farm Type Where reference is made to the type of farm in this document, this refers to the ‘robust type’, which is a standardised farm classification system. Farm Sizes Farm sizes are based on the estimated labour requirements for the business, rather than its land area. The farm size bands used within the detailed results tables which accompany this publication are shown in the table below. Standard Labour Requirement (SLR) is defined as the theoretical number of workers required each year to run a business, based on its cropping and livestock activities. Farm size Definition Spare & Part time Less than 1 SLR Small 1 to less than 2 SLR Medium 2 to less than 3 SLR Large 3 to less than 5 SLR Very Large 5 or more SLR Assets Assets include milk and livestock quotas, as well as land, buildings (including the farm house), breeding livestock, and machinery and equipment. For tenanted farmers, assets can include farm buildings, cottages, quotas, etc., where these are owned by the occupier. Personal possessions (e.g. jewellery, furniture, and possibly private cash) are not included. Net worth Net worth represents the residual claim or interest of the owner in the business. It is the balance sheet value of assets available to the owner of the business after all other claims against these assets have been met. Net worth takes total liabilities from total assets, including tenant type capital and land. This describes the wealth of a farm if all of their liabilities were called in.? Liabilities Liabilities are the total debt (short and long term) of the farm business including monies owed. It includes mortgages, long term loans and monies owed for hire purchase, leasing and overdrafts. Tenant type capital Tenant type capital comprises assets normally provided by tenants and includes livestock, machinery, crops and produce in store, stocks of bought and home-grown feeding stuffs and fodder, seeds, fertilisers, pesticides, medicines, fuel and other purchased materials, work in progress (tillages or cultivations), cash and other assets needed to run the business. Orchards, other permanent crops, such as soft fruit and hop gardens and glasshouses, are also generally considered to be tenant-type capital. Return on capital employed (ROCE) Return on capital employed (ROCE) is a measure of the return that a business makes from the available capital. ROCE provides a more holistic view than profit margins, focusing on efficient use of capital and low costs and allowing an equal comparison across farms of differing sizes. It is calculated as economic profit divided by capital employed. Liquidity ratio The liquidity ratio shows the ability of a farm to finance its immediate financial demands from its current assets, such as cash, savings or stock. It is calculated as current assets divided by the current liabilities of the farms. Gearing ratio The gearing ratio gives a farm’s liabilities as a proportion of its assets Farm business income (FBI) Farm Business Income (FBI) for sole traders and partnerships represents the financial return to all unpaid labour (farmers and spouses, non-principal partners and directors and their spouses and family workers) and on all their capital invested in the farm business, including land and buildings. For corporate businesses it represents the financial return on the shareholders capital invested in the farm business. Note that prior to 2008/09 directors remuneration was not deducted in the calculation of farm business income. It is used when assessing the impact of new policies or regulations on the individual farm business. Although Farm Business Income is equivalent to financial Net Profit, in practice they are likely to differ because Net Profit is derived from financial accounting principles whereas Farm Business Income is derived from management accounting principles. For example in financial accounting output stocks are usually valued at cost of production, whereas in management accounting they are usually valued at market price. In financial accounting depreciation is usually calculated at historic cost whereas in management accounting it is often calculated at replacement cost. Net Farm Income (NFI) Net Farm Income (NFI) is intended as a consistent measure of the profitability of tenant-type farming which allows farms of different business organisation, tenure and indebtedness to be compared. It represents the return to the farmer and spouse alone for their manual and managerial labour and on the tenant-type capital invested in the farm business. To represent the return to farmer and spouse alone, a notional deduction is made for any unpaid labour provided by non-principal partners and directors, their spouses and by others; this unpaid labour is valued at average local market rates for manual agricultural work. To confine the measure to the tenant-type activities and assets of the business, an imputed rent is deducted for owner-occupied land and

This statistic shows the average income per farm from cereal farming in the United Kingdom (UK) from 2009/10 to 2022/23. In the accounting year 2009/10, the average business income from cereal farming was approximately ****** British pounds per farm, which showed an increasing tendency up until 2011/12 and had decreased until 2015/16. Over the period of 2021/22, the average income amounted to *** thousand British pounds per farm. Additionally, the average income per farm from general cropping in the United Kingdom can be found at the following.

This statistic shows the average business income of specialist poultry farms in the United Kingdom (UK) from 2009/10 to 2022/23. In the accounting period 2021/23, the average income per specialist poultry farm was ******* British pounds. Additionally, the average income per farm of specialist pig farms in the United Kingdom can be found at the following.

This statistic depicts the average income per farm from grazing livestock in the United Kingdom from 2009/10 to 2022/23, split by lowland and less favored area (LFA) grazing. In the accounting period 2022/23, the average income per farm from grazing livestock on lowland and less favored areas was ****** and ****** British pounds respectively.

The Farm Business Survey (FBS) is conducted annually to collect business information from about 2,100 farms in England and Wales. The survey provides information on the financial position and physical and economic performance of farm businesses, to inform policy decisions on matters affecting farm businesses and to enable analysis of the impacts of policy options. It is intended to serve the needs of farmers, farming and land management interest groups, government (both national and European), government partners, and researchers.

The primary objective of survey results is to contrast the performance or other business characteristics of different groupings of farm, such as between regions or other geographical or environmental designations, farm types, farm size, age or education of farmer, etc. Up to and including the 2001/02 survey, FBS estimates were based on matching the sample between two adjacent years and farm weights. Farm weights were still calculated to present a matched sample however. From the 2002/03 survey onwards, matching between adjacent years was dropped altogether, and weights are now calculated for the full sample.

The typology used to determine the FBS farm type classification has been revised from 2009 onwards. The FBS typology is now based on standard outputs expressed in euros, with a minimum threshold of 25,000 euro (irrespective of the SLR) for FBS eligibility. Between 2009 and 2011, FBS farm type classification was based on 2007 standard output (SO) coefficients. From 2012, the farm type classification was based on 2010 SO coefficients, and from 2017 the FBS farm type classification was based on 2013 SO coefficients. The coefficients have been revised again for 2023/24 and are based on 2017 coefficients. The change in typology has had an effect on the distribution of farms by farm type and income averages. Further information regarding the change in typology is available on the GOV.UK FBS documents web page.

The Farm Business Survey is available from UKDS under Special Licence access conditions. See the' Access data' section for further details on how to apply for access to the data.

For the third edition (August 2010), an updated version of the database was deposited containing some sections not previously released by DEFRA, and some sections revised to cover a larger number of farms in both England and Wales: section L covers energy use on a sample of 500 farms across England, section M covers gross and net margins, section N covers household income, section O covers business management practices (England) and environment (Wales) and section R covers tenanted land. However, the previously withheld sections A, I and J are still not included.

United Kingdom GHP: Mean: UK: Skilled Agricultural & Related Trades data was reported at 10.270 GBP in 2017. This records an increase from the previous number of 10.070 GBP for 2016. United Kingdom GHP: Mean: UK: Skilled Agricultural & Related Trades data is updated yearly, averaging 9.580 GBP from Dec 2011 (Median) to 2017, with 7 observations. The data reached an all-time high of 10.270 GBP in 2017 and a record low of 9.290 GBP in 2011. United Kingdom GHP: Mean: UK: Skilled Agricultural & Related Trades data remains active status in CEIC and is reported by Office for National Statistics. The data is categorized under Global Database’s UK – Table UK.G049: Gross Hourly Pay: Mean: by Region.

The Dairy Cattle Raising industry's revenue is projected to contract at a compound annual rate of 0.2% over the five years through 2024-25. Dairy cattle farmers struggled before the pandemic as dairy processors were forced to lower prices paid for raw milk because of strong global competition. While smaller farmers have occasionally been forced out of the industry, there has been little consolidation activity, as collective bargaining has prevented larger farms from gaining a competitive edge. The pandemic did small favour for the industry as the volume of milk and dairy sold to hospitality and food processors fell, denting revenue. Mounting operating costs and fluctuating demand for milk have caused major volatility in the market. Key inputs for dairy farmers, like fertilisers and energy costs, shot up in price. At the same time, milk sales were rising as consumption recovered from the impact of the pandemic. This caused domestic milk prices to skyrocket, boosting dairy farm revenue in the two years through 2022-23. However, the market has stabilised in the following years, driving down revenue, while milk consumption has come under increasing pressure from plant-based alternatives like oat milk. As a result, dairy farm revenue is projected to fall 6% in 2024-25, reaching £5.3 billion. Operating costs are set to continue falling as production stabilises and consumers adjust supply chains. Farmers are also likely to benefit from improvements in cattle raising, with automation reducing the cost of monitoring and caring for farmers' herds. Farmers are predicted to boost profitability by catering to rising environmentalism, selling more sustainably farmed milk and applying for sustainability-based funding. However, farmers are likely to continue to struggle with the slow fall in average household milk consumption. Farmers must also contend with the growing popularity of other types of milk, from soy to almond to potato. The Dairy Cattle Raising industry's revenue is expected to grow at a compound annual rate of 1% to £5.6 billion over the five years through 2029-30.

The Farm Business Survey (FBS) is conducted annually to collect business information from about 2,100 farms in England and Wales. The survey provides information on the financial position and physical and economic performance of farm businesses, to inform policy decisions on matters affecting farm businesses and to enable analysis of the impacts of policy options. It is intended to serve the needs of farmers, farming and land management interest groups, government (both national and European), government partners, and researchers.

The primary objective of survey results is to contrast the performance or other business characteristics of different groupings of farm, such as between regions or other geographical or environmental designations, farm types, farm size, age or education of farmer, etc. Up to and including the 2001/02 survey, FBS estimates were based on matching the sample between two adjacent years and farm weights. Farm weights were still calculated to present a matched sample however. From the 2002/03 survey onwards, matching between adjacent years was dropped altogether, and weights are now calculated for the full sample.

The typology used to determine the FBS farm type classification has been revised from 2009 onwards. The FBS typology is now based on standard outputs expressed in euros, with a minimum threshold of 25,000 euro (irrespective of the SLR) for FBS eligibility. Between 2009 and 2011, FBS farm type classification was based on 2007 standard output (SO) coefficients. From 2012, the farm type classification was based on 2010 SO coefficients, and from 2017 the FBS farm type classification was based on 2013 SO coefficients. The coefficients have been revised again for 2023/24 and are based on 2017 coefficients. The change in typology has had an effect on the distribution of farms by farm type and income averages. Further information regarding the change in typology is available on the GOV.UK FBS documents web page.

The Farm Business Survey is available from UKDS under Special Licence access conditions. See the' Access data' section for further details on how to apply for access to the data.

The 2019/20 and 2020/21 FBS survey samples are slightly smaller than normal, as Covid-19 restrictions impacted data collection.

For the second edition (December 2022) data for sections F3, K, N and R have been added to the study, and the documentation has been updated.

In recognition of the different physical and socio-economic characteristics across the regions, the European Union introduced the Less Favoured Area (LFA) designation to support farming where production conditions are difficult. The criteria for LFA designation were first established in European legislation in 1975 (Directive 75/268 EEC and accompanying measures). There are 3 types of LFA's; all in Scotland fall into the category of simple LFA's marked by poor soils and low agricultural income. Scotland's LFA's are defined by: (i) The presence of poor land of poor productivity, which is difficult to cultivate and with a limited potential which cannot be increased except at excessive cost, and which is mainly suitable for extensive livestock farming. (ii) lower than average production, compared to the main indices of economic performance in agriculture. (iii) a low or dwindling population predominantly dependent on agricultural activity, the accelerated decline of which could cause rural depopulation