Farmers 'lack plans for their retirement'

The Government's rural watchdog, the Commission for Rural Communities, claims in it's State of the Countryside report this week that a third of farmers have no plans for succession when they chose to retire from farming.

The commission's report also shows that while 4.1bn of agricultural commodities were produced in the UK during 2009, dairy and arable farmers had all seen drops in their income while only livestock farmers had seen an increase.

Incomes too have risen from non-farming related work, with more food processing and retailing being seen on Britain's farms as farmers seek to bolster their incomes.

Outputs of non-food crops for industrial, energy and pharmaceutical uses have continued to increase, with substantial rises in the area of wheat grown for bio-ethanol production in the last two years

The study by the CRC, which is being abolished as the Coalition Government looks to cut back on government spending, also had high praise for the resilience of the rural economy – with rural businesses more likely to survive than those in urban areas.

In spite of fluctuating prices and disease outbreaks, optimism amongst farmers about the future of their businesses has increased in the last five years – the study said.

The president of the Country Land and Business Association (CLA) William Worsley, a Yorkshire landowner from Hovingham, said that the report should sound a warning to the government that it needs to institute policy to ensure that farming and the rural economy is supported during these times of economic turbulence.

"We need policies that will provide enough food and provide farmers with a secure and stable income. This will require greater investment in new technologies and development and in training."

He added: "Most of these issues are dealt with at EU, rather than national, level. We therefore need a government which recognises that one of the biggest challenges it faces is to make the case in Europe for sufficient funding."

The CRC also said that while England is one of Europe's most densely populated countries, only 10 per cent of land is developed.

"Increasing competition for rural land is likely to remain an issue," it said.

Dr Stuart Burgess, chairman of the commission, said: "The report shows that rural England has some huge strengths and none more relevant at this time than the enduring sense of community which enables many communities to compensate for the lack of local services which their urban counterparts have taken for granted, for example high speed broadband."

CW 10/7/10