Farming
Dairy farmers hit hard as average incomes plunge by up to 62%
DAIRY FARMERS in Wales have suffered a major financial blow, with incomes falling by 62% in real terms between April 2023 and March 2024, according to recent figures. Average farm business income during this period dropped to just £70,900—a significant decline from previous years.
FALLING MILK PRICES
The primary cause of this downturn has been a sharp reduction in farmgate milk prices. After record highs in 2022, milk prices fell dramatically in early 2023, leaving many farmers struggling to make ends meet. This drop in revenue has had a ripple effect across the sector.
RISING COSTS
At the same time, input costs for feed, fertilizer, and fuel have remained stubbornly high. Although there has been some stabilization in feed prices, the overall cost of production continues to strain farm finances. Many farmers report that rising costs are eroding already slim profit margins.

LABOUR CHALLENGES
Labour shortages have also played a role. The dairy sector, which relies heavily on skilled workers, has faced difficulties in recruiting staff, a problem made worse by post-Brexit immigration rules. As a result, many farms have had to pay higher wages, further cutting into their earnings.
REGULATORY BURDENS
Environmental regulations have added another layer of financial stress. Farmers have been required to invest in costly infrastructure, such as improved slurry storage systems, to meet new standards. While these measures aim to protect the environment, they have placed additional pressure on farmers already grappling with tight budgets.
UNPREDICTABLE WEATHER
Weather volatility has also contributed to the challenges. Unpredictable conditions have impacted forage quality and availability, affecting milk yields and increasing costs for supplementary feed.
CALLS FOR SUPPORT
Industry leaders are calling for greater support to help dairy farmers weather the storm. They are urging the government to provide relief measures and address the ongoing issues of market volatility and regulatory costs.
Farmers’ Union of Wales Deputy President, Dai Miles said: “The latest statistics on Farm Business Incomes in Wales demonstrate the economic reality of attempting to maintain levels of profitability against a backdrop of increasing costs and red tape.
“Dairy farms have seen significant declines due to both an average increase of 10% in overall farm business costs coupled with reductions in income.
“Across the board, however, the proportion of farm businesses in Wales generating a negative income continues to increase to over 20%. At the very least, this demonstrates the need for the future Sustainable Farming Scheme to offer an equal level of economic stability, currently provided through the Basic Payment Scheme, the maintenance of which for 2025 has been welcomed by the industry.”
Commenting Liberal Democrat MP for Brecon, Radnor and Cwm Tawe David Chadwick said: “These figures should be a stark reminder for Labour that the idea farmers are all wealthy and should be targeted to punitive tax raids is for the birds.
“Agricultural incomes have been falling for some time. The last Government did not offer much to help and now the new Government risks making things even worse. If they don’t change course, we will see a continued decline in the rural economy and the hallowing out of our rural communities.
“Labour must end their war on the countryside being waged from both Cardiff Bay and Westminster, cancel the family farms tax and reset their relationship with our farmers. Our food security and the economic viability of rural communities depend on it.”
LOOKING AHEAD
Despite the challenges, some industry analysts remain cautiously optimistic, suggesting that stabilizing milk prices and improved market conditions could provide relief in the coming year. However, without significant intervention, many fear that the sector may continue to struggle.
Dairy farming has long been a cornerstone of the Welsh economy, and the current crisis serves as a stark reminder of the need for robust support for this vital industry.
Business
Plans to rebuild arson hit building at farm with one of largest sheep flocks in Wales
A CALL to rebuild a fire-damaged Pembrokeshire farm building, as a family home to help manage one of the largest sheep flocks in Wales, has been submitted to the national park.
In the application to Pembrokeshire Coast National Park, D B Davies and Sons through agent Harries Planning Design Management, with a supporting statement by Reading Agricultural Consultants Ltd, seek permission to renovate an existing fire-damaged dwelling, together with the conversion and extension of outbuildings to form an agricultural worker’s dwelling at Mynydd Du, Rosebush.
The supporting statement through Reading Agricultural Consultants Ltd says Mynydd Du is part of a wider holding which includes Eisteddfa Fawr and land around the village of Brynberian, the farms approximately six km apart, with land under control of the applicant amounting to some 1,500 acres, with a further 3,000 acres of Preseli mountain common land also used; the land accommodating a 5,000-ewe flock with 10 suckler cows and followers.
It says DB Davies & Sons Unlimited, has five partners: the two Davies brothers, Berian and Ken; their wives; and Berian’s son, Dyfed.
Berian and Ken are in their late 70s, with most of the heavy work on the farm is undertaken by Dyfed.
Dyfed and his wife Megan are first language Welsh speakers, living some 10 km away in Nevern, while Berian and Ken, and their wives, live at Eisteddfa Fawr, Brynberian.
The dwelling at Mynydd Du, where most sheep are now wintered, is structurally sound and repairable but has been unoccupied since 1990, and was subject to arson circa 2013, the statement says.
It says Dyfed works full-time on the farm, alone with increasing frequency as the older business members are above retirement age, working “long hours out of necessity to undertake all the work associated with one of the largest flocks of sheep in Wales”.
“His working hours are extended further due to the fact that he lives remote (6kms) from the main block of land at Tyllosg, where Mynydd Du is situated in the centre of the farm. Travelling back and forth several times each day during lambing and other times during poor weather, to check on flock welfare is an arduous task and can be dangerous, particularly if driving when tired during inclement conditions.”
The statement adds: “The application seeks permission to repair the fire damaged dwelling at Mynydd Du and bring it back to serve a useful purpose to enable Dyfed to closely monitor the ewes, not only at lambing, but throughout the year when the flock is grazing on the adjacent common land.
“It will also enable Dyfed to be with his partner and young child on a more regular basis than simply at the end of a long day when he is away from their current home, tending the sheep at Mynydd Du.”
The application will be considered by park planners at a later date.
Farming
Wales sees progress in bovine TB fight as debate over badger role continues
New figures show decline in herd incidents, but disagreement remains over wildlife controls
WALES is making steady progress in tackling bovine tuberculosis (bTB), according to the Welsh Government, but a long-running debate over the role of badgers in spreading the disease continues to divide opinion.
In a written statement issued this week, Deputy First Minister and Cabinet Secretary for Climate Change and Rural Affairs, HUW IRRANCA-DAVIES, outlined what he described as “clear progress” in Wales’s eradication programme.
Latest figures show a sustained long-term decrease in new TB herd incidents, which ministers say reflects the success of a science-led, cattle-focused strategy. The approach has prioritised enhanced testing, stricter movement controls, and improved biosecurity on farms.
The Welsh Government says more sensitive testing methods are helping to identify infection earlier, while efforts are also being made to reduce the number of cattle slaughtered unnecessarily.
However, the issue of whether wildlife—particularly badgers—plays a significant role in spreading the disease remains contentious.
Farmers and government under pressure
Bovine TB continues to have a major economic and emotional impact on Welsh farming communities, particularly in rural areas of Pembrokeshire, Carmarthenshire and Ceredigion.
Farmers’ unions have long argued that wildlife reservoirs, including badgers, contribute to the persistence of the disease, and have called for stronger intervention measures.
In England, controversial badger culling programmes have been rolled out over the past decade, with UK Government figures suggesting significant reductions in TB rates in some areas.
But those claims remain disputed, with critics arguing that the evidence is far from clear-cut.
Badger Trust backs Welsh approach
Responding to the Welsh Government’s latest statement, the Badger Trust welcomed the direction of policy in Wales and urged ministers to maintain a focus on cattle-based controls.
The charity said the latest statistics demonstrated that Wales’s approach was delivering “real results” and represented a clear improvement on policy seen elsewhere.
Chief Executive NIGEL PALMER said: “The latest TB statistics show sustained long-term decreases in new TB herd incidents, demonstrating that Wales’s science-led, cattle-focused approach is delivering real results.”
The Trust also questioned the effectiveness of culling, arguing that reductions in England cannot be attributed solely to killing badgers.
It said: “The analysis behind this figure cannot separate the effects of culling from other measures such as enhanced cattle testing, stricter movement controls, and improved biosecurity.”
The organisation maintains that bovine TB is primarily a cattle disease, with most transmission occurring between cattle rather than from wildlife.
Scientific disagreement remains
The role of badgers in spreading bTB has been the subject of decades of scientific study, with no universal consensus.
Some studies have suggested that badgers can act as a reservoir for the disease, potentially infecting cattle through environmental contamination.
Others, including research cited by animal welfare groups, argue that the impact of badgers on overall transmission rates is limited compared to cattle-to-cattle spread.
The Welsh Government’s own Technical Advisory Group has previously stated that a combination of measures may be needed, including consideration of wildlife alongside cattle controls.
However, Wales has so far resisted introducing widespread badger culling, instead focusing on vaccination trials and tighter cattle measures.
Calls for clarity and consistency
The Badger Trust also raised concerns about international standards, arguing that requirements for Officially TB Free status focus primarily on bovine species rather than wildlife.
It warned that policies targeting badgers risk diverting attention and resources away from more effective cattle-based interventions.
At the same time, farming representatives continue to press for stronger action, arguing that without addressing all potential sources of infection, eradication efforts could stall.
A long road ahead
While the latest figures suggest progress, the Welsh Government has acknowledged that completely eradicating bovine TB remains a long-term challenge.
For now, Wales appears set to continue its cautious, evidence-led approach—balancing animal health, farming livelihoods, and wildlife protection.
But with pressure mounting from both sides of the debate, the question of how far to go in tackling the disease is unlikely to be settled any time soon.
Farming
£3 million secured to continue Welsh sheep genetics programme
THE WELSH GOVERNMENT has confirmed £3 million in funding over the next three financial years to continue the Welsh Sheep Genetics Programme (WSGP), helping Welsh sheep farmers improve efficiency, productivity and environmental performance.
From April 2026, Hybu Cig Cymru – Meat Promotion Wales (HCC) will lead Phase 2 of the programme, marking a significant next step in supporting farmers to make smarter, evidence-based breeding decisions.
The new phase will provide transition support for existing participants while also opening the programme to new flocks. Farmers will receive practical, technical and financial support to make use of Genomic Estimated Breeding Values, advanced genetic tools designed to help them make better-informed decisions at farm level. The data collected will also strengthen industry benchmarking and support longer-term business planning.
Phase 2 will also include the development of robust key performance indicators, tailored farm-level action plans, and an ambitious portfolio of research projects aimed at driving innovation across the sector.
The programme’s objectives are closely aligned with the Sustainable Farming Scheme, which launched on January 1, 2026, as well as HCC’s Vision 2030, reflecting a shared commitment to a productive, sustainable and competitive Welsh red meat industry.
Phase 1 of the WSGP, delivered by Farming Connect, comes to an end on March 31, 2026. Since launching in 2023, the programme has achieved significant progress, including introducing genomics into the sheep sector for the first time anywhere in the world.
It has also generated 70,000 genotypes across Tier 1 and Tier 2 flocks on the AHDB-Signet database since 2023, the highest number recorded there, while developing two major research strands focused on breeding for worm resistance and reduced methane emissions.
The programme has worked in close partnership with leading specialists, including Innovis and AHDB-Signet, and has delivered measurable genetic gains and improvements in key performance traits across participating flocks.
The investment underlines the Welsh Government’s commitment to reducing greenhouse gas emissions while supporting the production of high-quality, sustainable PGI Welsh Lamb.
Deputy First Minister for Climate Change and Rural Affairs, Huw Irranca-Davies, said: “This funding demonstrates our commitment to supporting farmers to build profitable, resilient businesses while delivering on our climate ambitions. The Welsh Sheep Genetics Programme shows what is possible when cutting-edge science meets the proud tradition of Welsh livestock farming. By helping farmers breed healthier, more productive flocks with a lower environmental footprint, we are strengthening food security and safeguarding our rural economy for the long term.”
José Peralta, Chief Executive of Hybu Cig Cymru, said: “The progress achieved to date reflects the commitment of farmers across Wales, the work of the Farming Connect team, and the continued financial support of the Welsh Government. Together, these provide a strong platform for the next phase.
“This next step directly supports a core priority in our new strategic plan: to develop and lead the implementation of initiatives that improve economic and environmental sustainability. We look forward to working closely with farmers to ensure they have the tools, insights and support needed to thrive in the years ahead.”
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