Question to the Department for Environment, Food and Rural Affairs:

To ask the Secretary of State for Environment, Food and Rural Affairs, with reference to the Andersons' report Andersons Outlook 2025, published on 5 November 2024, whether he has made an assessment of the reasons for the decline in dairy producers between April 2023 and April 2024; and what steps he is taking to support the sustainability of dairy farms.

This Government recognises that food security is national security, and that it requires a resilient and healthy food system that works with nature and supports farmers. That is why we are introducing new deals for farmers to boost rural economic growth and strengthen food security.

While the Andersons Outlook 2025 report highlights that dairy producer numbers in Great Britain declined by 5.8% to 7,130 between April 2023 and April 2024, it also shows that UK milk production remained largely unchanged at around 15b litres per annum. Industry consolidation and productivity gains have kept milk production broadly stable despite declining producer numbers.

Ensuring fairness in supply chains is key for UK dairy farmers in supporting the sustainability of the sector. The Fair Dealing Obligations (Milk) Regulations 2024 apply to new dairy contracts from 9 July 2024 and all dairy contracts from 9 July 2025. These regulations improve fairness and transparency, requiring clear terms on pricing, termination, and prohibiting unilateral changes.

In addition, the Dairy Export Taskforce, an industry/government partnership, is focused on boosting export growth in the dairy sector. This included the organisation of a successful Government funded dairy showcase for international buyers in the autumn of 2024.