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Farming

Family farms on the brink

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Under threat: Over 80% of small farms are struggling

FEWER than one in five family farms are making a profit from their farming activity, according to research undertaken by the Andersons Centre on behalf of The Prince’s Countryside Fund.

Analysis of data from 172 participants in the first year of The Prince’s Farm Resilience Programme has shown that the average farm made more than £20,000 loss from farming activities, and instead is reliant on other income streams to make a profit.

The shortfall was made up by income from non-farming activity, such as tourism enterprises, renewables, direct selling of products to the consumer, or income from working off farm as well as farm payments.

According to the report, broadly speaking, farmers face two business choices in order to cope with declining economic fortunes: either to focus on a farming solution or to redeploy resources away from agricultural production. In reality, it may be a combination of the two or farmers may vacillate between the two courses of action with periods of off-farm work generating income interspersed with a focus on the farm.

There are, of course, two further options open to farmers. First, they may cease farming, either entirely through selling up the farm or by letting their land. Or secondly, they might tighten the belt and continue business as usual.

Worryingly, many operators of small farms, believe the near future will see them retiring or otherwise leaving agriculture altogether.

Lord Curry of Kirkharle, chairman of The Prince’s Countryside Fund said: “Although the initial figure is startling, the research from the Andersons Centre shows that farmers are increasingly looking at their farms as a business, and are proactively looking for how they can generate an income from diversified sources to remain profitable.

“This is more crucial now than ever. Farmers must develop their skills and improve their business confidence to survive. If they do not, the risk of extinction for the family farm is very real; farmers must act now to both strengthen their core farming business and to spread the risk.

“The Prince’s Farm Resilience Programme is vital, because it equips farmers with the tools they need to remain financially stable. Maintaining diversity of farm size is essential to protect the British countryside and our rural communities.”

The Andersons Centre developed a bespoke and easy to use Business Health Check Tool for The Prince’s Farm Resilience Programme, allowing farmers on the programme to benchmark their performance, identify their strengths and weaknesses, and make informed business decisions as a result. Data from this tool was analysed to identify trends and performance in the farm businesses involved in the initiative.

The Prince’s Farm Resilience Programme aims to help 300 family farms, across 15 locations, each year. It brings together like minded family farm enterprises in local networks, to review their current activity and identify improvements and opportunities that can be made on-farm to build resilience, effectively helping farmers to take control of their businesses. Farmers who took part in the first year have confirmed they have higher levels of confidence in their business, better business management, and stronger communication within their family.

The Prince’s Farm Resilience Programme directly addresses some of the issues raised in a report commissioned by the Fund from the University of Exeter, ‘Is there a future for the small family farm in the UK?’

The report detailed how the loss of small family farms would have devastating effects for the British countryside, leading to loss of employment, breakdown of rural communities, and potential negative environmental consequences. The report concluded that it was essential to maintain a diverse range of farm sizes, but that this was in significant jeopardy.

Crime

Police appeal after 29 ewes stolen from Carmarthenshire hillside

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POLICE are investigating the theft of 29 yearling ewes from mountain grazing land in Cilycwm, near Llandeilo, Carmarthenshire.

The livestock were taken sometime between 1 September and 22 October 2025, according to Dyfed-Powys Police.

The ewes are mostly white-bodied and have two distinctive pitchmarks which officers hope will help farmers and the public identify them. These include a black number 8 marked on the side of the body and a green ‘T’ symbol on the top of the back. Images of the missing animals have been issued as part of the appeal.

The force’s Rural Crime Team is urging anyone who may have noticed suspicious activity on the mountainside during that period, or who has information on the location of the animals, to contact officers on 101.

Alternatively, information can be passed anonymously to Crimestoppers on 0800 555 111 or via the Crimestoppers website.

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Farming

Farmer honoured for outstanding contribution to Welsh agriculture

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Long-serving industry advocate recognised for mentoring and public engagement

CARMARTHENSHIRE farmer Haydn Evans has been awarded the 2025 Farmers’ Union of Wales – United Counties Agriculture and Hunters Society Award for his exceptional contribution to farming in the county and across Wales.

Mr Evans, an organic dairy farmer and Vice Chair of NFU Cymru Carmarthenshire, was recognised for his long-standing commitment to the agricultural sector at both local and national level.

After a successful career in the banking sector, he began farming from scratch twenty years ago, purchasing his first farm and a small herd of cows. He now runs a 97-hectare organic dairy enterprise split across two units – one dedicated to the milking herd and the other to rearing youngstock.

Alongside running the business, Mr Evans plays an active role in industry representation. He serves as Chair of the Welsh Organic Forum and is closely involved with NFU Cymru’s work in the county. His background in finance is seen as a valuable asset in discussions about business resilience, future policy and the challenges facing family farms.

He is also a mentor with the Farming Connect Mentoring Scheme, offering practical guidance to farmers across Wales, particularly those seeking to diversify or strengthen their business operations.

Mr Evans is a strong advocate for agricultural education and public engagement. Each year he supports Carmarthenshire YFC’s “My Food Plate” event, which introduces primary school pupils to sustainable food production and environmental stewardship.

Further developing his technical skills, he recently completed the Fertiliser Advisers Certification and Training Scheme (FACTS) and now teaches at Gelli Aur Agricultural College, helping to train the next generation of agricultural professionals.

The award was presented at the FUW’s Eve of the Welsh Dairy Show Dinner, held at Carmarthen Market on Tuesday, October 28, 2025. This year’s award was sponsored by NatWest Cymru.

Sian Thomas, Chair of the United Counties Agriculture and Hunters Society, said the recognition was “well-deserved,” praising Mr Evans’ dedication to supporting new entrants and promoting best practice within Welsh agriculture.

FUW President Ian Rickman also congratulated Mr Evans, highlighting both his success as an organic dairy farmer and his “tireless efforts to educate and inspire others within the agricultural community.”

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Farming

Farming inheritance tax changes spark calls for delay amid Welsh concerns

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Committee warns of “confusion” as Government urged to review impact on Wales

PLANS to overhaul inheritance tax rules for agricultural estates have prompted a warning from MPs that Welsh family farms could face significant uncertainty unless ministers pause the reforms and assess their impact properly.

The cross-party Welsh Affairs Committee says the measures, due to take effect in April 2026, risk hitting small and medium-sized family farms far harder than the UK Government has suggested. Members argue that the changes have been developed without considering the distinct structure of Welsh farming, where many holdings are family-run, multi-generational and reliant on diversified income streams.

Under the proposals announced in last year’s Labour Budget, inherited agricultural assets valued above £1m would be taxed at 20%. While Treasury officials insist that only the largest estates will be affected, farming unions and rural accountants have produced far higher estimates. Some advisers say the reforms could touch the majority of Welsh farms, particularly where investment in tourism, renewables or on-site businesses has increased overall estate values.

The committee’s report highlights that no Welsh-specific data was published when the policy was announced, leaving what it describes as “a vacuum” filled by wildly different projections. MPs say this lack of clarity has fuelled anxiety across the sector, especially among families preparing for succession in the coming years.

Farmers who have expanded into caravan parks, holiday accommodation or wedding venues warn that diversification — encouraged for decades as a way of shoring up rural income — now risks pushing them over the proposed allowance. Several have told the committee that younger family members hoping to take over holdings are now unsure how to plan, with some reconsidering investment or delaying major decisions until the tax position is clearer.

The committee has urged the UK Government to halt the reforms until a full, Wales-specific impact assessment can be produced, scrutinised and debated. Members argue that any future policy must recognise that Welsh farms are typically smaller, more marginal and more culturally significant than the UK average, often forming the backbone of Welsh-speaking communities.

They also recommend that the Wales Office should take a leading role in assessing how UK-wide tax policies affect devolved nations, to avoid repeating what they describe as a “complacent” approach in this case.

Opposition parties in Wales have echoed the committee’s call for a pause, arguing that the reforms could destabilise rural communities and introducing that level of financial pressure without detailed analysis risks unintended harm. They say there are alternative ways to tighten tax rules for large estates or corporate landowners without imposing heavy costs on working family farms.

The Welsh Government said it welcomed the committee’s work and would consider its findings. The Treasury maintains that it is supporting British agriculture through investment allowances for machinery, funding for sustainable food production and measures designed to reduce EU export costs. Ministers say the reforms will ensure reliefs worth hundreds of millions of pounds are more fairly distributed and contribute to public services.

The next UK Budget is due within a fortnight, and farming organisations will be watching closely for any sign that ministers intend to slow down or revise the proposed changes.

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