UK Dairy Farmers Face Worker Shortage Threatening Food Security

UK dairy farmers are increasingly alarmed by a critical shortage of skilled workers, which poses serious threats to food security in the country. A significant 84% of farmers reported difficulties in recruiting staff with the necessary experience and qualifications. The challenges posed by recent changes in inheritance tax and the Sustainable Farming Incentive have been compounded by this workforce crisis, creating further obstacles for the dairy sector. A survey conducted by Arla, the largest dairy cooperative in the UK, revealed that five out of six farmers seeking new employees received very few to no applications for their vacancies. The fifth annual survey, involving 1,900 dairy farm owners, underscored the seriousness of the issue, with nearly half of the respondents indicating that retaining workers has become more difficult in the five years since the onset of the COVID-19 pandemic and Brexit. Only a small fraction, about 5%, reported improvements.

According to Bas Padberg, managing director of Arla, the workforce shortages are having a tangible impact on the farming industry, leading to higher costs and reduced milk production. This dearth of labor is likely to be reflected in the pricing and availability of dairy products in supermarkets, which will ultimately affect millions who depend on dairy for nutrition. The cooperative has reported a decline in milk producers over the last five years, with its membership decreasing by approximately 300 since 2022. Alarmingly, 13% of dairy farmers surveyed stated they would exit the industry within the next year if labor shortages are not addressed, while 6% have had to reduce their milk production. Contributing factors to this trend include the end of free movement for EU workers and various economic pressures, such as declining sales and milk prices.

To address these challenges, Mr. Padberg advocates for collaborative efforts among the industry, educational institutions, and the government to attract younger individuals to dairy farming. This sector has been traditionally reliant on an older workforce, with 47% of its employees aged over 55 years. Interestingly, two-thirds of young workers in the field report that their farms have been family-owned for four or more generations, with merely 3% identifying as first-generation farmers. Recent statistics from the Agriculture and Horticulture Development Board indicate that around 200 British dairy farmers exited the sector within the year leading up to April, resulting in a total of 7,040 remaining producers.