The NFU has explained the impact of Brexit on farming businesses to banks, emphasising the need for their continued support and certainty.
The farming union met with banks, ranging from HSBC, Barclays, Lloyds, RBS-NatWest, Clydesdale, in a bid to create a high level of understanding.
NFU economist Anand Dossa and research manager David Clifford gave their insight into the current state of the UK agriculture based on member surveys and market intelligence at the Banking Forum.
Commenting on the meeting, NFU President Meurig Raymond said the British farming industry is currently dealing with issues such as rising costs and against a backdrop of both political and economic uncertainty.
He said: “With all the major banks around the table, today was an excellent opportunity to help create and maintain that high level of understanding of the farming industry. This understanding, and the financial support, will be needed by farmers as they face the challenges ahead.”
Bank support
Mr Raymond posed the question to the representatives: 'Why do you think it's important for your bank to support UK agriculture, and how will you do this in the future?'
In response, Oliver McEntyre, national agricultural strategy director at Barclays, said: "UK agriculture is a growth sector at Barclays, it forms the backbone of Barclays UK and we have supported the sector since 1744.
"Farming is the cornerstone of the rural economy and infrastructure, providing food security, jobs, a rural economic foundation and a farmed environment which benefits bio-diversity and tourism.
"British farmers are as resilient as they are versatile, which means the industry is in a good position to utilise agri-tech innovations to improve efficiency in core production, while providing a great base for diversification into commercial or tourism property, adding value to core products, rural attractions and energy. This gives UK agriculture a strong outlook and one Barclays will continue to support."
'Lifeblood'
Ian Burrow, head of agriculture and renewable energy at NatWest and the Royal Bank of Scotland said farming is the "lifeblood" of rural communities and vital to the UK, and global, economy.
"For generations, NatWest has been proud to support agricultural businesses and we are committed to continuing that support," Mr Burrow explained.
"Last year we lent over £3bn to the sector and support more farming businesses than any other bank. But our support goes beyond lending and traditional banking services. With a network of over 150 dedicated agriculture specialists across the UK, our commitment is to understand today’s challenges and foresee tomorrow’s and help business become safe and secure for the future.”
'Long and proud history'
A spokesperson from Clydesdale and Yorkshire Banks said the bank has a "long and proud" history of supporting UK farmers, and agriculture is a key sector for thr business.
"We are seeing more of our customers wanting to diversify, seeking to create new income streams and seizing unique opportunities for growth, such as research and development, renewables and technology," the spokesperson explained.
"This often requires significant investment and we will play our part in supporting the ambitions of the rural economy.
"We are committed to working with SMEs and our approach to our Agribusinesses is very much delivered by a thorough understanding of each business, giving a tailored service that meets their individual needs.”
