Farmers face costs crisis as support ‘not working’, MPs warn

Farmers are facing a deepening profitability crisis as MPs warn government support is “not working”, with rising input costs, policy uncertainty and scheme delays squeezing margins.

In a Westminster Hall debate on agriculture support, Liberal Democrat MP Richard Foord of Honiton and Sidmouth – who secured the debate – said producers are being squeezed by volatile global markets while lacking clear domestic backing.

Mr Foord warned some farmers face an extra £60,000 bill this year due to fertiliser inflation, while red diesel prices have surged sharply in recent months amid ongoing tensions in the Middle East.

See also: Farmers hit by red diesel price surge as PM offers no relief

“Farmers are facing volatile international markets, while being told constantly [by government] that support is under review or ‘being monitored’,” he said.

Sarah Gibson, Liberal Democrat MP for Chippenham, noted that the government’s own figures show that between 17% and 29% of farming families failed to make a profit in 2023-24.

Scheme delivery failures are adding to farmer frustration, the debate on 29 April was told.

Caroline Voaden, Liberal Democrat MP for South Devon, said delays and uncertainty in Defra’s Sustainable Farming Incentive (SFI), had caused “significant concern” and cashflow problems for her farming constituents.

“Many farmers are relying on SFI, but it closed to new applications in March and is yet to reopen – and there is no clarity about the future budget,” she added.

Meanwhile, Liberal Democrat agriculture spokesman Tim Farron MP warned that about 4,000 farmers in England who farm on common land, mostly in the uplands, are unable to access funding due to IT system limitations.

Mental health issues in farming were also raised. Peter Prinsley, Labour MP for Bury St Edmunds and Stowmarket, said: “I am concerned about the mental health of farmers. There is about one suicide a week among UK farmers.”

Defra response

In response, Defra farming minister Dame Angela Eagle acknowledged “the pressures many farm businesses face”, but she insisted the government is providing “stable funding, and simpler, fairer schemes”.

She pointed to an £11.8bn farming budget this parliament, insisting: “We are increasing investment in environmental land management schemes.”

However, opposition MPs repeatedly called for immediate support to ease rising fuel and fertiliser costs, rather than relying on longer-term plans.

Mr Foord said: “Farmers are doing their best in very trying circumstances. They are adapting and innovating and trying to produce food for all of us while under immense economic pressure.

“They do not need warm words from the government – they do not need ‘monitoring’. What they need now is a government that are prepared to take action to match their rhetoric.”