The Budget must deliver certainty for Yorkshire farmers - Paul Tompkins, NFU

The Government has repeatedly said that food security is national security. But secure supplies of homegrown food depend on resilient farm businesses, and right now many farmers across Yorkshire are facing mounting pressure. We need those words backed with action.

Rising production costs, global instability, extreme weather and animal disease are all taking their toll. From livestock farmers concerned about the ongoing threat of bluetongue to arable growers dealing with challenging weather conditions and squeezed margins, many businesses are finding it increasingly difficult to plan for the future.

The recent closure of the environment scheme, Sustainable Farming Incentive (SFI), has only added to these concerns.

The strong uptake for the scheme came as no surprise, with many Yorkshire farmers ready and willing to apply but ultimately left without an agreement. The scheme’s closure in less than six hours underlines the sector’s clear commitment to delivering both food production and environmental outcomes. However, the funding available was not sufficient to meet the exceptional level of demand, something the NFU consistently warned about.

The overwhelming response to the scheme demonstrates the appetite among Yorkshire farmers to invest in measures that support both sustainable food production and environmental delivery. Despite being prepared to apply, many farmers were unable to secure an agreement before the scheme closed. The NFU repeatedly warned Defra that demand would exceed the available budget.

For farmers already lying awake at night worrying about cashflow, this has been another significant setback. Many of those who have spent years delivering environmental improvements through previous schemes have now been left in limbo, facing uncertainty about what comes next and whether they can afford to continue investing in their businesses.

That is why the forthcoming Budget matters so much.

That is why the Chancellor getting the Budget right matters so much. NFU members across the county have immediate concerns. For some businesses, the question is no longer whether they can invest in new technology, improve productivity or deliver more for the environment. It is whether they can afford to keep producing food next year.

If the Government is serious about strengthening food security and keeping its promise that food security is national security, it must create the conditions that allow Yorkshire farm businesses to survive, invest and grow. Farmers are not looking for handouts. They are looking for confidence, certainty and practical support that enables them to continue producing food and caring for the countryside.

The NFU is therefore calling on the Chancellor to deliver a Budget that reduces the cost of producing food, restores business confidence and strengthens Britain's food security. This starts with reversing the family farm tax, which has been stifling investment since it was introduced in autumn 2024.

To further support investment an increase to the Annual Investment Allowance to at least £5 million, and extending it to include structures and buildings, will help farmers to invest in productivity, energy efficiency and water management.

With cashflow still a major challenge, the Government should also provide funding for temporary interest-free Keep Britain Growing Loans, giving businesses facing severe cashflow pressures the support they need to continue producing food and investing in the future.

Ministers must also ensure that the aligning legislation with the EU does not put domestic food producers at a disadvantage compared with imported products.

Finally, enhanced capital allowances should be introduced to encourage investment in low-carbon technology, infrastructure and productivity improvements.

These are practical measures that would help move many Yorkshire farm businesses out of survival mode and allow them to focus on producing food, protecting the environment and contributing to the rural economy.

Yorkshire farmers stand ready to do exactly that. We want to continue producing high-quality British food while delivering environmental improvements and supporting thriving rural communities. But we cannot do it alone.

The Budget is the Government's opportunity to match its words on food security with meaningful action. By backing farming businesses today, ministers can help ensure that Yorkshire's farmers continue feeding the nation and caring for the countryside for generations to come.

Paul Tompkins is an NFU vice president and Yorkshire farmer.