Farm Accounts in England is the primary publication from the Farm Business Survey. It provides information on farm incomes, outputs and costs for the various farm types, farm sizes, regions and economic performance.
The main income measure used is Farm Business Income. For non-corporate businesses, Farm Business Income represents the financial return to all unpaid labour on the farm (farmers and spouses, non-principal partners and their spouses and family workers) and on all their capital invested in the farm business, including land and buildings. For corporate businesses it represents the financial return on the shareholders capital invested in the farm business. Farm Business Income is essentially the same as Net Profit, which, as a standard financial accounting measure of income, is used widely within and outside agriculture.Key results
- In 2014/15, average Farm Business Income was lower across all robust farm types except grazing livestock farms. On lowland grazing livestock farms average incomes increased by 23 percent, albeit from a low base, whilst on Less Favoured Area (LFA) grazing livestock farms average incomes were similar to the previous year.
- For cropping farms, improved weather and a return to more usual cropping patterns saw an increased area of winter crops compared to the previous year and a substantial improvement in yields. However, the increased production was offset by lower commodity prices due to a strong pound and plentiful supplies on global markets.
- On dairy farms the lower average income was driven by a reduced value of output from milk production. Milk prices fell gradually throughout the year but for the first six months were higher than for the same period in 2013. This together with increased volumes partially offset the lower average price for the year as a whole.
- Average incomes on pig and specialist poultry farms fell due to a reduced output for pig and poultry meat.
- The higher value of the pound against the euro led to a lower Single Payment. It also had a negative impact on prices as domestic production had to compete with cheaper imports and alternative suppliers for export markets.