Inquiry finds Defra guilty of publishing misleading milk price statistics

Defra published a statistical notice reporting that average farm gate milk price for February 2016 increased by 2.48p per litre
Defra published a statistical notice reporting that average farm gate milk price for February 2016 increased by 2.48p per litre

The outcome of a statistical inquiry into the publication of milk price statistics concluded that Defra published misleading information earlier in the year.

In the spring, Defra published a statistical notice reporting that the average farm gate milk price for February 2016 increased by 2.48p per litre.

This was immediately called into question by dairy commentator Chris Walkland of Walkland Partnerships Ltd who tabled a formal complaint, supported by the Tenant Farmers Association (TFA).

"It was simply impossible that the February milk price quoted was correct," TFA explained, welcoming the outcome of the inquiry.

TFA North West Chairman Robert Martin:
TFA North West Chairman Robert Martin: 'When spurious information is issued this causes real problems'

"An explanation from the Defra statistical division suggested that the February price was affected by the payment of an annual bonus but this in itself could not have explained the increase quoted."

'Materially misleading'

However, the Director General from the UK Statistics Authority, Ed Humpherson has agreed with the complaint.

He said: "The presentation of the series including bonus payments was materially misleading, and the statistical notice should not have been published"

Defra has now agreed to engage with industry organisations to improve the quality of the statistics produced in future years.

TFA North West Chairman and dairy farmer Robert Martin said: "We were all amazed and confused with what Defra produced in its statistical notice, but despite our protests Defra appeared to be unrepentant.

"These notices are used by dairy farmers not only in their negotiations with their processors but also in other types of negotiations like rent reviews. When spurious information is issued this causes real problems.

"I am pleased that this matter has been rectified and look forward to having further discussions with DEFRA to ensure that such problems do not re-occur."