Defra’s first estimate of the UK’s Total Income from Farming (TIFF) for calendar year 2024 points to a 26% increase, largely driven by falling input costs.
The provisional UK TIFF for 2024 is £7.7 billion – a £1.6bn or 26.4% increase on the 2023 figure. However, the latter, first published in June 2024, has been reduced by £1.1bn or 15.9% to £6.1bn. Defra analysts say this follows a “substantial upwards revision” in the value of expenditure on fertilisers – increased by £1.0bn or 71.9%.
The increase in 2024 reflects a decrease of £1.2bn in the value of farm inputs, after the extreme volatility in 2022 and 2023, plus a £0.4bn rise in the value of farmgate outputs. But in the latter figure, a 5.6% rise in livestock product sales masks a similar fall in crop receipts.
Defra measures total UK livestock output in 2024 at £20.1bn, a £1.1bn rise from the previous year. The value of eggs increased by 35.2%, although one third of the addition is attributed to a change in statistical methodology. Beef rose by £352m or 9.3%, due to historically high deadweight values and a 3.8% increase beef production. Farmgate milk prices were up 4.4% to 41 pence per litre, with a consequent rise in production in the second half of 2024.
The 2024 total crop output saw a £0.6bn or 5.3% decrease to £11.7bn compared to the previous year. There were substantial falls in the values of wheat (-26.9%) barley (-14.1%) and oilseed rape (-30.8%), due to smaller planted areas after the wet autumn 2023 and the continued fall in crop values from their peak in 2022.
Statistics on farm input value – classed by Defra as intermediate consumption – show an overall decrease of £1.2 billion or 5.5% to £20.9bn in 2024 compared to 2023. The smaller winter cropped area meant less product was used, while product prices also dropped from their high in 2022 and 2023 in line with when energy prices were high.
Fertiliser purchases fell 26.3% to £1.73bn from £2.34nn in 2023. Compound feeds dropped to £4.42 from £4.77bn in 2023 and straights to £1.82bn from £1.85bn. The seeds market value increased to £975m from £951m – the increased winter crop area offsetting reduced cereal crops prices. The plant protection product sector decreased to £969m from £1.07bn the previous year.
Defra says UK agriculture’s 2024 contribution to the UK economy in Gross Value Added terms at basic prices was £14.5bn, equivalent to 0.56% of overall UK GVA. The sector figure is a rise of £1.6bn (up 12.8%) in GVA, when compared to 2023.
The full TIFF 2024 report is available here.