Figures I have found estimate that 50 years ago (1976), there were over 71,000 dairy farms in the UK. Today only around 10% of those farms remain.
The Agricultural & Horticultural Development Board (AHDB) have just published results of their April 2026 survey of major milk buyers.
It is estimated that there were 6,850 milk producers in Great Britain (excludes Northern Ireland) as of April 2026. A total of 160 farms have gone in just six months since October 2025 and numbers have now fallen below 7,000.
The AHDB survey also showed that the GB milking herd stood at 1.59 million head in April 2026, another lowest number record. However the average milk output per farm has increased by 7.6% in the year April 2025 to April 2026, highlighting the ongoing trend in consolidation and fewer but bigger farms.
Milk prices that were increasing throughout early 2025, have fallen well be low the cost of producing milk on most farms in the last 6 months. Meanwhile input costs for things like fuel, fertiliser and electricity have risen sharply.
Whilst UK milk prices have stabilised over the past couple of months and some dairy companies have awarded small rises of one or two pence per litre, prospects of a return to prices similar to this time last year look very unlikely this summer. The current pressure that UK dairy farmers are under right now will not be alleviated any time soon. That’s because the price of milk here is influenced not only by fluctuations in demand at home but, also, volatile global commodity markets for dairy products like, butter, cheese and skimmed milk powder. Right now trading prices for butter and cheese, for example still remain low.
No wonder then that confidence amongst dairy farmers is very low and a growing number can no longer afford to produce milk for us.
Larger dairy farms can, to some extent, achieve economies of scale to spread costs over a greater volume of milk output. But find themselves in a race to the bottom, with fewer and fewer still able to stay in the game.
Cow’s milk is one of nature’s superfoods. It is a staple food, with over 98% of households regularly buying it.
But the problem is milk production on farms is a volume driven business. The only way for most farmers to survive is to produce more litres, to try and offset rising costs and make a profit.
With milk from hundreds, or even thousands, of farms collected and pooled in huge vats by dairy companies, individual farms of origin are completely unidentifiable. The milk you buy in the supermarket comes from different farms, in different environments, with many different breeds of cows and different production systems and is blended into a standardised product of unknown provenance.
The current pressure that our dairy farmers are under in the UK right now cannot be quickly alleviated. The price of milk here is influenced not only by fluctuations in demand and supply here but, also volatile global commodity markets for dairy products like, butter, cheese and skimmed milk powder.
Going forward there has to be a value-added proposition for dairy farmers – particularly those with small farms who cannot compete in global commodity markets. But this isn’t about turning milk into innovative food products – it’s about realising the true value of liquid milk at source. Remember over 98% of UK households use liquid cow’s milk.
On our website you will find a number of dairy farmers now selling milk at their farm gate or in nearby villages and towns, often through self-service vending machines and others who have set up milk rounds, delivery super-fresh milk straight from the farm to local households.
When individual farms sell milk direct to their local communities and beyond, people can make choices, not just about where their milk comes from but how it was produced. This enables us to be able to identify the milk we buy as something more than just the ‘white stuff. It enables us to understand the true value of the product and pay a price that reflects that value.
It is unlikely we will see a return to significantly more small family farms in the UK. But selling direct is a lifeline for a many of those still in existence today. Please support them.
You can read further analysis the AHDB survey via the link here
Author: Neil Darwent
A small family farm selling beef and lamb