Defra has published its latest forecasts for Farm Business Income (FBI) in England for 2025/26, highlighting a mixed outlook across farming sectors.
Average farm incomes are expected to fall for most farm types, with notable exceptions in the dairy and lowland grazing livestock sectors.
Key highlights include:
Dairy farms: incomes forecast to rise significantly to around £224,000 (+45%)
Lowland grazing livestock: incomes expected to increase to approximately £45,000 (+8%)
Cereal farms: incomes forecast to fall sharply by around two thirds to approximately £17,000
The decline in arable incomes is driven by a combination of lower cereal prices, variable yields, and ongoing reductions to the delinked Basic Payment.
These official statistics are informed by data from the Farm Business Survey (FBS), which provides detailed insight into the financial performance of farm businesses across England and supports evidence-based policy and industry understanding.
Read the full release:
https://www.gov.uk/government/statistics/farm-business-income/forecasts-of-farm-business-income-by-type-of-farm-england-202526