How wealthy are British farmers?

In 2023/24, 30 per cent of farms failed to make a profit, while 52 per cent made more than £100,000. While the average income for farmers grazing livestock is £26,000 (a bit lower than the median income), the average income of specialist pig farmers, at £91,000 before tax, puts them in the top 4 per cent of earners.

What percentage of farmers in the UK are millionaires?

The average net worth across all farms was £1.94 million, a small increase on 2019/20. Forty-one percent of farms had a net worth of at least £1.5 million.

What is the average income of an UK farmer?

The fall in income followed exceptional highs for some farm types in 2022/23. For cereal farms, following two years of exceptional highs, Farm Business Income fell by 73% to £39,400. For general cropping farms average income was 24% lower at £95,300.

Which country has the richest farmers?

Qin Yinglin (Chinese: 秦英林; pinyin: Qín Yīnglín, born 1965) is a Chinese agriculture tycoon, billionaire, Communist Party member, and the world's richest farmer. He is the Chair and president of the pig farming company Muyuan Foodstuff and is one of the richest people in China. According to Bloomberg Billionaires Index, ...

What is the average net worth of a farm in the UK?

The average net worth per farm was £2.4 million in 2023/24, and 23% of farms had a net worth of at least £3 million. The average gearing ratio was 11% in 2023/24; this figure has been largely unchanged over the last decade.

How to Build Wealth as a Young Farmer

Is owning a farm profitable in the UK?

Summary. In 2021/22, the average Farm Business Income (FBI) across all UK farm types, at current prices, was £72,000 compared to £46,500 in 2020/21. FBI varies greatly with 10% of UK farms failing to make a positive FBI in 2021/22 while 41% of farms had an FBI of over £50,000.

How many UK farms are worth 1 million?

The figures suggest that 17% of farms in England have a net worth - the difference between their assets and liabilities - of between £1m and £1.49m. Another 49% of farms have a value of £1.5m and over. This suggests, on the face of it, that 66% of farms in England could potentially be affected by the tax changes.

Are farmers in the UK rich?

In 2023/24, 30 per cent of farms failed to make a profit, while 52 per cent made more than £100,000. While the average income for farmers grazing livestock is £26,000 (a bit lower than the median income), the average income of specialist pig farmers, at £91,000 before tax, puts them in the top 4 per cent of earners.

Where do farmers make the most money?

Why do rich people buy farms in the UK?

It's therefore likely that the motivation behind it is either: to close a perceived unfair loophole; or to pursue an ideological aim. The loophole is that very rich people can buy very large tracts of farmland in order to shelter their very large estates from inheritance tax.

How old is the average farmer in the UK?

In the UK, the average age of a farmer is 59. In Kenya, it is 60. And in Japan, with the highest average age for a farmer, it is 67.

Do farmers pay taxes in the UK?

Now 20% of the total farm value (in excess of £1 million) will be owed to the government on the death of the owner. This means that the next generation could face huge tax bills. (Note that non-farming assets owned by farmers have always been and remain taxed like anyone else's). How Will This Impact Family Farms?

What type of farming makes the most money in the UK?

Pastoral farming

These include beef and dairy cattle, sheep, pigs, goats, and poultry. According to DEFRA, 60% of the UK's agricultural production comes from livestock, valued at £16.3 billion. Of this, the most valuable categories are dairy cattle (£4.8 billion) followed by beef cattle (£3.3 billion).

How bad is inheritance tax for farmers?

Since 1984 farmers and agricultural land and business owners have been exempt from IHT, thanks to a series of tax "reliefs" that can be applied to estates. There are two broad categories, both offering 100% relief.

How much does the average British farmer earn?

Average farm incomes rise to £96,100 despite volatility. The average farm business income in England increased to £96,100 across all farm types in 2022-23, according to Defra's latest farm survey.

What is the most profitable thing on a farm?

Greenhouse Tomatoes (Heirloom-Type Slicers)

This is it—the king of the greenhouse, the number one on this list of the most profitable crops for small farms. Tomatoes are the single most profitable crop we grow, and when managed properly, they're in a class of their own.

Where are most farmers in the UK?

Agricultural activity occurs in most rural locations. It is concentrated in the drier east (for crops) and the wetter west (for livestock). There are 191,000 farm holdings, which vary widely in size.

Are British farmers struggling?

The study found that 87% of farmers have experienced reduced productivity in the face of recent extreme weather, 84% had suffered a fall in crop yields, and more than three-quarters had taken a hit to their income.

Do farmers have pensions?

Many farmers have made pension investments in land and farm buildings, such as grain stores, and other commercial property eligible for personal pension investment. These are held either in a self-invested personal (SIPP) or a small self-administered scheme (SASS).

Are farmers asset rich and cash poor?

Generally, farmers tend to be “asset rich and cash poor”, with the average farm income stated to be around £86,000 across all farm types. This may force some farmers to sell off their land in order to pay their inheritance tax bill, and in some cases may make their business commercially unviable.

Do farmers pay council tax?

Agricultural land typically does not incur council tax. However, if there are residential properties on the land, such as farmhouses or cottages used by workers, these dwellings are subject to council tax. The assessment will focus on the residential properties rather than the agricultural land itself.

Why do millionaires buy farms?

Hedge against inflation. As inflation climbs, many investments can plummet in value. Farmland, on the other hand, has seen its value increase during inflationary periods, making it an effective hedge against rising prices. This cushion can be particularly valuable to those with an ultra-high net worth.

Who is the biggest owner of farmland in the UK?

National Trust and National Trust For Scotland (800,000 acres) Britain's largest farmer, the National Trust, owns 620,000 acres and has an annual income of £680m, while the National Trust for Scotland has about 180,000 acres. Together, they have more than 1,500 tenants.