FSA discount decision threatens small abattoirs

The future of the remaining 47 small abattoirs in England and Wales hangs in the balance as the Food Standards Agency (FSA) debates whether to continue the Small Abattoir Discount on meat inspection charges.

Without this discount, which covers up to 90% of vet inspection costs for small operators, meat industry leaders warn the sector faces potential collapse.

The discount exists because smaller abattoirs pay charges based on vet hours rather than the number of animals processed, making costs per animal up to nine times higher than larger plants.

See also: FSA’s meat inspection fee hikes set to take effect

However, the Association of Independent Meat Suppliers (Aims) warns that 40% of small abattoirs could close if the discount is removed and an average increase in meat inspection fees of close to 20% is imposed, a prospect that has alarmed farmers and industry bodies alike.

A recent survey of 850 UK farmers who use abattoirs, by the Sustainable Food Trust in collaboration with the Soil Association and Rare Breeds Survival Trust, found that one-third had already lost their local abattoir in the past five years.

Some 43% said they would stop selling meat locally if their abattoir closed, and 29% feared they would have to shut their businesses.

Increased inspection fees would likely force many farmers to raise prices or absorb losses, threatening rural economies and food security.

Small abattoirs are crucial for local meat supply chains, supporting higher welfare, rare breeds, and reducing animal transport distances. They also provide vital private kill and processing services that help farmers add value to their products, especially important as subsidies decline.

Higher fees

In Great Britain, meat inspection fees are four to seven times higher an animal than those in comparable slaughterhouses in Ireland and France. Industry groups are calling for a switch to a throughput-based charging model, arguing the present system is inefficient and unfair.

The FSA board is set to decide on the discount on Wednesday (18 June).

If it is maintained, the matter will proceed to Defra minister Steve Reed for approval. If not, industry groups vow to launch a major campaign highlighting the devastating impact on local supply chains, farmers, and consumers.

A legal challenge launched by Aims against the FSA’s charging system is already under way.

Peter Hewson, veterinary director at Aims, said: “Aims is pleased to see the FSA paper recognises the need for small abattoirs to be supported.  

“However, it remains concerned for larger plants for which there would be no need for a ‘discount’ if delivery of controls was more efficient and the cost of other official activities was not being included in official control charges, an issue that Aims is currently challenging in the High Court.”

The FSA has been asked to comment.