The incomes of commercial farms in Scotland are estimated to have halved over the four years to 2014. The latest reduction in farm business income, a measure of the return to unpaid labour on commercial farms, continues a four year decline in average income.
Estimates from the Scottish Government’s annual Farm Accounts Survey show that average farm business income fell by a quarter (£8,000) between 2013 and 2014, to £23,000; the lowest level of FBI since the measure was introduced. Income has been falling since a peak in 2010. Since then, commercial farms have seen a decrease of 55 per cent (£28,000) from an average of £51,000.
The report shows that one in five farming businesses north of the border made a loss. The Scottish Government also warned that the decline could have continued since the statistics were compiled. ‘While cattle prices remained steady in 2015, milk, potato, cereal and lamb prices fell,’ it added.
Photo Caption: The Scottish Government building
Photo Credit: Wikipedia