The CLA View

It is during the summer months, when I attend countless agricultural events and shows in our region, that I get the best barometer of how the rural economy is performing.

I am in contact with our members, who are a range of farmers, landowners, and rural businesses, across the year, but you often have more time at events for in-depth meaningful conversations about the direction of the industry and our members’ businesses.

There have been some common themes in my conversations. The weather, current government policy, and the impact of global events, such as the ongoing conflict in the Middle East, have all been at the forefront of our members’ minds.

I recently described this in a media interview as a ‘perfect storm’. We have an increase in the operating costs of farming, with steep price rises in areas like red diesel and fertiliser, for example. These costs are squeezing already tight margins and putting additional pressure on farming businesses.

Then there is the extreme, unpredictable weather. From the weeks that went by without rain this spring after many farmers had drilled crops, to the hottest May day on record, it has been highly disruptive. This puts ever-increasing pressure on access to water, already a scarce resource in our region, when we need it most.

When it comes to water, it is often the case that there is either too much, causing flooding, or too little, resulting in periods of drought. Our farming members are on the frontline and feel the impact most of our changing climate.

Some want to help tackle the problem by building on-farm reservoirs to help make their businesses more resilient. But barriers to their construction include planning permission, abstraction licensing, and economic viability.

Then we have the instability caused by sudden changes to government policy, with the dramatic closure of the Sustainable Farming Incentive (SFI) last year and its recent redesign this year being a prime example.

Land managers don’t operate in the short term. They plan for the future, and what they need is stable long-term policies that recognise the importance of food security and home-grown produce, while balancing the important work of delivering environmental outcomes.

The modifications to the SFI have caused anxiety for those seeking to produce food and enhance nature. We can feed the population, improve soil health, and restore our natural environment. To achieve this, farmers should be supported through well-funded productivity schemes that reward environmental outcomes. Short-term schemes – that can change at the drop of a hat – do nothing to build confidence or stability in the sector.

We continue to raise our concerns with government over the £100k cap to SFI as this limits the ambitions of those who can do the most for nature and the environment. If the cap will have an impact on your business, please let us know via east@cla.org.uk.

All the issues I’ve covered here are being discussed at our branch committee meetings which are held across our region. If you have specific points you would like raised, please get in touch.

With all this said, I have complete admiration for the resilience of rural businesses. Against a backdrop of uncertainty and challenges, one thing is clear from those I speak to: their passion and determination cannot be questioned. They are innovative, forward-thinking business people who remain agile to meet the ever-changing demands placed on them.