UK government considers farmer aid amid drought pressure

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UK considers farmer aid amid drought

Highlights

UK government is preparing a financial support package for drought-affected farmers, with two officials expecting an announcement on Saturday.
Wheat yields are forecast below the five-year average this harvest, as extreme heat and Britain’s driest July strain crops and accelerate harvest timings.
Milk deliveries fell 4.5 percent year-on-year in late July due to heat stress and poor grass growth, prompting early use of winter feed and potential future shortages.

Drought relief plan takes shape

As first reported by Financial Times, three government figures say ministers are drawing up a financial support package for farmers hit by the ongoing drought, although they do not provide further details. Two of them say they expect the measures to be announced on Saturday.

The push comes as Andy Burnham tries to reinforce his standing in rural Britain as well as in cities. The prime minister has promised growth across the country and this month is touring the UK, including rural communities, while the planned package is intended to show the government is responding to farming pressures nationwide.

The Department for Environment, Food and Rural Affairs says it knows how difficult the summer is for farmers, that the government has stepped up its drought response and is actively considering ways to provide more support to the sector. Burnham also convenes a meeting of Cobra on Wednesday to review the UK response to extreme heat, wildfires and drought, and warns that the hot conditions are likely to continue for some weeks.

Heatwave strains harvests and dairy output

Farmers are contending with Britain’s fifth heatwave of the year after the driest July on record, conditions that are bringing forward the UK harvest and forcing some growers to combine crops at night to avoid extreme temperatures. Wheat yields in this harvest are expected to come in below the five-year average, according to consultancy Andersons.

The National Farmers’ Union is urging the government to ease water rules, including through more flexible abstraction licences when farms face shortages. It also wants a faster planning system for water storage projects and grant support for on-farm reservoirs, arguing that longer-term investment is needed to manage repeated dry spells.

Dry weather is also hitting livestock production. The Agriculture and Horticulture Development Board says milk deliveries in the last week of July fall 4.5 percent from a year earlier as heat stress reduces cows’ appetite, while poor grass growth is pushing farmers to use winter feed early and raises the risk of shortages later this year.

Industry groups warn the damage could outlast this season. Gavin Lane, president of the Country Land and Business Association, says farmers are resilient but may struggle to recover from this harvest after three droughts in five years, and calls for a national climate adaptation strategy.

UK water bill increases approved by Ofwat highlighted how utilities are seeking extra funding for new infrastructure projects, including reservoirs and recycling capacity, amid intense political scrutiny. Our earlier article also noted the strain of an exceptionally dry summer, with widespread hosepipe bans fuelling concerns over leakage, pollution and affordability, while Thames Water’s finances remained in focus.

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