Food security and affordability are being undermined across the UK due to labour shortages in the agriculture industry, according to new data published by Arla Foods.

The UK’s largest dairy company surveyed 472 suppliers and found that more than 56% of the participants find it difficult to recruit farm labour, while a further 86% of the farmers surveyed claim they had little or no applicants with the required skillset to fill the vacancy.

The survey also found that British dairy farmers are paying staff 27% more on average than they had been prior to the end of 2019, before the challenges of the pandemic set in as well as the labour shortages wrought on by the end of free movement of labour from the EU.

The affects that these challenges pose on farming are clear with 1/12 (8.5%) of farmers reportedly cutting production to respond to the labour shortages while 10.6% of farmers surveyed were forced to reduce their herd size to combat the problems.

16% of dairy farmers would consider leaving the industry entirely as a consequence of labour shortages, which is up from the 12% reported in 2023, which will further compromise food security.

Food security

Managing director at Arla Foods, Bas Padberg, said:

“Our farmers have told us for some time that they are facing real challenges with the state of the labour market. This new data bears out their concerns and the potential impact on food prices and food security.

“If we want our farmers to continue to put food on the table in millions of homes around the country they need help. We’re calling on the Government and industry to work together to bring people into our exciting sector, and then to give them the skills and equipment they need to be fully productive.

“What Ministers have said already about driving growth and supporting training is positive; we now need to go further and faster.”

On the back of these results, Arla Foods is demanding more support from Government for the dairy industry and has written to the Environment Secretary and the Prime Minister seeking them to back it’s proposals.

Arla urged the government to reduce the administration required of farmers by simplifying the paperwork, to promote the food and farming sector, to support skill development and the provision of leading transferable qualifications.

Arla Foods are also asking the government to fund technological advancements in the industry to encourage automation on farms.

Vice President of Production at Arla, Fran Ball added: “The challenges in recruiting suitably skilled people into the food supply chain is becoming increasingly harder. With advancements in technology and automation, we should be getting more efficient, but we still need the right people with the right skills if we want to have a workforce that is fit for the future.”

Arla also believes that more work is necessitated to promote the industry as an attractive source of employment for the younger generation and for women, which will help foster diversity and representation in the dairy industry.

It is asking the government to expediate welcome changes to the Apprenticeship Levy which will enable greater access to funding for upskilling and training courses and to reform career advisory services in schools to encourages students to pursue careers in the sector.

Arla farmer, David Christensen, said: “For farmers across the country, this has been a problem for a number of years, and it is getting worse.

“We need schools, parents and careers advisors all to recognise the benefits of working in the food and farming sector and to share them with young people.

“Because in the end it is people who will deliver a thriving food and farming sector that feeds the nation and contributes to the growth of our economy.”