02/07/25 Profitability of nature-friendly farming, regenerative dairy farming, inheritance tax court case

Farming Today

A new study published by the Centre for Ecology and Hydrology shows that nature-friendly farming is not currently as profitable as intensive food production. Its authors say the report is the first of its kind and shows that agroecology improves biodiversity and can boost crop yields. However, the cost of creating habitats and the loss of some productive land, they say, means lower profits. Dr Ben Woodcock led the four year study which studied 17 farms.

More big food companies are paying producers who farm regeneratively a premium, encouraging them to improve soil health, increase on-farm biodiversity and reduce their carbon footprint. Nestle is working with the farmers' cooperative First Milk to collect data from 80 UK farmers who supply them with milk and are being paid a premium to farm regeneratively. We visit one of their dairy farmers in Cumbria.

One of the farmers seeking a judicial review of the treasury's decision to impose inheritance tax on farm businesses says the government failed to consult properly on changes to the tax. Tom Martin from Cambridgeshire tells us why he's taking part in the legal action.

Presenter = Anna Hill Producer = Rebecca Rooney