CLA responds to Minette Batters’ Farm Profitability Review

Urgent action is needed to build self-sustaining farm businesses, the CLA has urged, after Minette Batters' profitability review was published.

Baroness Batters' report highlights the need for closer collaboration between farming, industry and government, and greater clarity and certainty for farm businesses looking to grow and invest.

Defra has said a new Farming and Food Partnership Board will be set up, to give farmers and food businesses a stronger voice at the heart of government.

Chaired by Environment Secretary Emma Reynolds, with Farming Minister Dame Angela Eagle as deputy, the board will bring together senior leaders from farming, food production, retail, finance and government to "take a practical, partnership-led approach from farm to fork to strengthen our food production."

CLA President Gavin Lane said:

“As this report highlights, profitability across the sector is perilously slim, with farmers battling high input costs, low commodity prices and volatile weather conditions.

“Many farm businesses are marginal or loss-making, yet will soon be hit with unaffordable inheritance tax bills, which in many cases will dwarf their annual profit.

“We welcome Minette Batters’ conclusions and urge the government to work with the industry to build profitable, self-sustaining farm businesses, otherwise food production and nature recovery will be put at even greater risk.

“Now is the time for urgent action. We need a stable policy environment, clarity on farming schemes, real planning reform and a recognition that a joined-up approach to rural affairs is desperately needed across government.”

The government response to the Farming Profitability Review will be set out through the new 25-Year Farming Roadmap, due for publication next year.

The review makes 57 recommendations to improve long-term profitability, productivity, resilience and investment across farming.