More Than 1,000 Dairy Farms Close

According to a new report from the Agriculture and Horticulture Development Board (AHDB), a total of 1,002 dairy farms in England and Wales have ceased production since 2013. This highlights the severe crisis facing UK dairy farmers after years of falling milk prices.

Scale of the Crisis

The study, cited by the BBC, reveals that wholesale milk prices can be up to 10p below the cost of production. Despite widespread protests organized by the National Farmers Union, this milk price plunge remains a pressing issue for producers.

Read more about the impact of the milk price plunge on UK dairy farmers.

Regional Impact

The worst-affected region is North Yorkshire, with 89 farm closures, while Berkshire has experienced the largest proportional decline, losing one-third of its dairy holdings.

Production vs. Farm Numbers

Although fewer farms remain—just 9,538—the number of dairy cows has increased by around 113,000. Advances in breeding and farm management have lifted yields per animal by approximately 8%.

Global Factors

This downturn is compounded by global oversupply following the removal of milk quotas in Europe. Such market pressures have dragged down prices internationally.

Discover how global oversupply is influencing UK dairy economics.

Industry Response

In response to farmer protests, several supermarkets have pledged better pricing. Asda, for example, now sells a four-litre carton that returns an extra 25p to producers.

NFU Cymru Dairy Board chairman Aled Jones told Farmers Weekly, “While prices are improving, they are still unsustainable. Supply is pulling back globally, but many farmers continue to receive extremely low prices.”

Outlook

With dairy consumption expected to outpace production growth this year, some relief may lie ahead. However, price recovery remains uncertain, and the return to sustainability could take time.