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In real terms, after adjusting for inflation, Total Income from Farming per Annual Work Unit (AWU) of entrepreneurial labour is estimated to have decreased by 3.4% to £23,953 in 2010. This decline results from a reduction in Total Income from Farming (-4.3%) in real terms to £4.38 billion and a fall in the number of annual work units of entrepreneurial labour (-1.0%).
At current prices before adjusting for inflation, Total Income from Farming increased marginally in 2010 compared to 2009, by £3.7 million (0.1%) to £4.38 billion. This increase is the result of an increase in the value of agricultural output (5.3%) to £20.7 billion offset by an increase in inputs and other costs (3.3%) to £19.5 billion and a fall in payments through the Single Payment Scheme and other payments (-12%) to £3.2 billion. The fall in payments is largely due to a decline in the exchange rate at which payments through EU direct aid schemes are converted from Euros to sterling.
The increase in agricultural output (5.3%) was due to an increase in the value of both crop production (8.5%) to £7.6 billion and livestock production (3.8%) to £11.2 billion.
The increase in value of livestock production was mainly due to increases in the value of production of poultry (13%), where volume increased and prices remained strong, and of milk (6.4%), reflecting increases in both volume and prices.
Increases in the value of output have been offset by higher costs, particularly for animal feed (11%), which rose to £4.02 billion, and for energy costs (14%), which rose to £1.25 billion. The total value of intermediate consumption (the goods and services consumed or used as inputs in production) was estimated to increase to £13.4 billion (4.8%). Changes for other costs, such as consumption of fixed capital (0.3%), compensation of employees (0.3%), rent (-0.1%) and interest payments (-13%), were minor and had only little impact on Total Income from Farming.
At current prices before adjusting for inflation, Total Income from Farming increased marginally in 2010 compared to 2009, by £3.7 million (0.1%) to £4.38 billion. This increase is the result of an increase in the value of agricultural output (5.3%) to £20.7 billion offset by an increase in inputs and other costs (3.3%) to £19.5 billion and a fall in payments through the Single Payment Scheme and other payments (-12%) to £3.2 billion. The fall in payments is largely due to a decline in the exchange rate at which payments through EU direct aid schemes are converted from Euros to sterling.
The increase in agricultural output (5.3%) was due to an increase in the value of both crop production (8.5%) to £7.6 billion and livestock production (3.8%) to £11.2 billion.
The increase in value of livestock production was mainly due to increases in the value of production of poultry (13%), where volume increased and prices remained strong, and of milk (6.4%), reflecting increases in both volume and prices.
Increases in the value of output have been offset by higher costs, particularly for animal feed (11%), which rose to £4.02 billion, and for energy costs (14%), which rose to £1.25 billion. The total value of intermediate consumption (the goods and services consumed or used as inputs in production) was estimated to increase to £13.4 billion (4.8%). Changes for other costs, such as consumption of fixed capital (0.3%), compensation of employees (0.3%), rent (-0.1%) and interest payments (-13%), were minor and had only little impact on Total Income from Farming.
http://www.defra.gov.uk/statistics/files/defra-stats-foodfarm-farmmanage-agriaccount-tiffnotice-110428.pdf
