UK Farming in Context

Farming contributes to around 0.5 per cent of the UK’s economic output and employs almost half a million people. Agriculture contributed £11.2bn to the UK economy in 2021, with England contributing most of the value.¹Defra.2022. Agriculture in the United Kingdom. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1094493/Agriculture-in-the-UK-27jul22.pdf 

Farming demands 71 per cent of the UK’s land, using 17.2m hectares in 2020 (which includes arable and horticultural crops, uncropped arable land, land for outdoor pigs, temporary and permanent grassland and common rough grazing). Of this, only 6.1m hectares, or a third of agricultural land, is used for cropping (consisting of cereals, oilseed, potatoes, other arable crops, horticultural crops, uncropped arable land and temporary grass).²Defra.2022. Agriculture in the United Kingdom. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1094493/Agriculture-in-the-UK-27jul22.pdf  Income breaks down as 56 per cent for meat, 29 per cent for milk, nine per cent from trading animals and five per cent from eggs.³Defra. 2022. Agriculture in the UK Evidence Pack. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1106562/AUK_Evidence_Pack_2021_Sept22.pdf 

The following pie chart shows how much profit each section made in production in 2021:⁴Defra. 2022. Agriculture in the UK Evidence Pack. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1106562/AUK_Evidence_Pack_2021_Sept22.pdf 

In Numbers (2021)

• Pigs: 5.3m
• Dairy cows: 1.9m
• Poultry: 190m
• Beef cows: 9.6m
• Woodlands on farms: 1.1m hectares (only six per cent of farmland)
• Sheep: 33m
• Average UK farm size: 81 hectares (half of all farms are less than 20 hectares)
• Horticulture (growing fruit and veg): 137 thousand hectares (only one per cent of all agricultural land).⁵Defra. 2022. Agriculture in the UK Evidence Pack. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1106562/AUK_Evidence_Pack_2021_Sept22.pdf 

Farm Types

Farms in the UK are classified by their main output even though many engage in more than one type of farming. These are the main farm types:¹¹Farm Business Survey. 2014. Farm Classification in the United Kingdom. http://farmbusinesssurvey.co.uk/DataBuilder/UK_Farm_Classification_2014_Final.pdf 

General Cropping

Holdings on which arable crops (including field scale vegetables) account for more than two-thirds of the total Standard Output (SO), excluding holdings classified as cereals; holdings on which a mixture of arable and horticultural crops account for more than two thirds of their total SO, excluding holdings classified as horticulture and holdings on which arable crops account for more than one third of their total SO and no other grouping accounts for more than one third.

Cereals

Holdings on which cereals and combinable crops account for more than two-thirds of the total SO and (pre-2007) where set-aside alone did not account for more than two-thirds of the total SO.

Mixed

Holdings for which none of the above categories account for more than two-thirds of total SO. This category includes mixed pigs and poultry farms as well as farms with a mixture of crops and livestock (where neither account for more than two-thirds of SOs).

Horticulture

Holdings on which fruit (including vineyards), hardy nursery stock, glasshouse flowers and vegetables, market garden scale vegetables, outdoor bulbs and flowers, and mushrooms account for more than two-thirds of their total SO.

Poultry

Holdings on which poultry account for more than two-thirds of their total SO.

Specialist Pigs

Holdings on which pigs account for more than two-thirds of their total SO.

Dairy

Holdings on which dairy cows account for more than two-thirds of their total SO.

Grazing Livestock Less Favoured Area (LFA)

Holdings on which cattle, sheep and other grazing animals account for more than two-thirds of their total SO except holdings classified as dairy. A holding is classified as a Less Favoured Area (LFA) holding if 50 per cent or more of its total area is in the LFA.

LFA is a term used to describe an area with natural handicaps (lack of water, climate, short crop season and tendencies of depopulation), or that is mountainous or hilly, as defined by its altitude and slope. Of holdings classified as LFA, those whose LFA land is wholly or mainly (50 per cent or more) in the Severely Disadvantaged Area (SDA) are classified as SDA; those whose LFA land is wholly or mainly (more than 50 per cent) in the Disadvantaged Area (DA) are classified as DA.

Lowland Grazing Livestock

Holdings on which cattle, sheep and other grazing animals account for more than two-thirds of their total SO, except holdings classified as dairy. A holding is classified as lowland if less than 50 per cent of its total area is in the LFA.

¹³Defra. 2022. Agriculture in the UK Evidence Pack. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1106562/AUK_Evidence_Pack_2021_Sept22.pdf 

Here are the 2021 figures detailing the number of farms for each type in England:

¹⁵Defra. 2022. Agriculture in the UK Evidence Pack. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1106562/AUK_Evidence_Pack_2021_Sept22.pdf 

Dairy adds the most economic value to UK agriculture at £4.8bn (2020) and 60 per cent of the UK’s agricultural output came from animal farming.¹⁷Defra. 2022. Agriculture in the UK Evidence Pack. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1106562/AUK_Evidence_Pack_2021_Sept22.pdf 

Total animal farming output in 2021 was £16.3bn, an increase of over £1bn (6.8 per cent) from 2020. All sectors saw higher prices, with the exception of pigs which decreased in value by £38m. Milk increased the most by £344m, and beef increased by £310m.¹⁸Defra.2022. Agriculture in the United Kingdom. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1094493/Agriculture-in-the-UK-27jul22.pdf 

Main contributions to animal farming in £m:

Despite this, total meat production in 2021 decreased by 0.8 per cent to 4.1m tonnes. Cow and sheep meat decreased by 4.6 per cent and 9.5 per cent respectively. There was a four per cent increase in pig meat production, and poultry remained stable at 48 per cent of all UK meat production.¹⁹Defra.2022. Agriculture in the United Kingdom. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1094493/Agriculture-in-the-UK-27jul22.pdf 

Farming Output and Income

Farming income is divided into two categories and defined by Defra as:

Farm Business Income (FBI) “…is the preferred measure for comparisons of farm type and represents the return to all unpaid labour (farmers, spouses and others with an entrepreneurial interest in the farm business) and to all their capital invested in the farm business including land and farm buildings.”²³Defra.2022. Agriculture in the United Kingdom. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1094493/Agriculture-in-the-UK-27jul22.pdf 

Farm Business Income is the equivalent of net profit.²⁴Defra. 2022. Farm Business Income by type of farm in England 2021/22. https://www.gov.uk/government/statistics/farm-business-income/farm-business-income-by-type-of-farm-in-england-202122 

Total Income from Farming (TIFF) “…represents business profits and remuneration for work done by owners and other unpaid workers. It is used to assess UK agriculture as a whole.”²⁵Defra.2022. Agriculture in the United Kingdom. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1094493/Agriculture-in-the-UK-27jul22.pdf 

Average Input and Outputs on a Farm 2018/19 – 2020/21

²⁶Defra. 2022. Agriculture in the UK Evidence Pack. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1106562/AUK_Evidence_Pack_2021_Sept22.pdf 

Total Income From Farming (TIFF) in England and the proportion from each region 2020

²⁷Defra. 2022. Agriculture in the UK Evidence Pack. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1106562/AUK_Evidence_Pack_2021_Sept22.pdf 

The West of England is predominantly used for animal farming. Dairy production in the South West alone accounts for five per cent of all farming output.²⁸Defra.2022. Agriculture in the United Kingdom. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1094493/Agriculture-in-the-UK-27jul22.pdf 

Organic farming in 2021 only represented three per cent of the total farmed area (507,000 hectares).²⁹Defra. 2022. Agriculture in the UK Evidence Pack. https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1106562/AUK_Evidence_Pack_2021_Sept22.pdf