Welsh farmers call for stable funding and TB action before next Senedd term

Wales’ two main farming unions have urged politicians to deliver fair funding and stronger support for agriculture ahead of the next Senedd election.

NFU Cymru and the Farmers’ Union of Wales (FUW) set out their shared priorities during a joint fringe event at the Welsh Liberal Democrats’ spring conference in Cardiff.

Chaired by Brecon and Radnor MP David Chadwick, the event outlined several key demands both unions want addressed in the next Senedd term, which begins in May.

These include stable farm support through the Sustainable Farming Scheme (SFS), fair and sufficient agricultural funding, a comprehensive strategy to eradicate bovine TB and a review of the regulatory pressures facing farmers.

The unions also called for a risk-based, evidence-led approach to water quality rules and warned that the next Welsh government must prioritise policies that protect food production and rural communities.

NFU Cymru president Abi Reader said the sector has faced growing financial pressure as farm support funding has failed to keep pace with rising costs.

“For well over a decade the amount of funding available to support Welsh farmers has remained cash-flat,” she said, warning that inflation has significantly reduced its real-term value.

She added that farmers are also dealing with increasing regulatory and environmental compliance costs.

“The unfolding conflict in the Middle East has underscored yet again the importance of ensuring that there is sufficient and secure funding available to support Welsh agriculture, and to ensure our farming families are able to carry on producing the food we need in a volatile world,” she said.

FUW president Ian Rickman said maintaining the value of the agricultural budget would require a significant uplift.

“Had the agricultural budget kept pace with inflation it would now be well in excess of £500 million,” he said.

“We need the next Welsh government to commit to an inflation adjusted, ring-fenced, multi-annual budget which matches our shared ambitions for the sustainable growth of the sector.”

He added that most of the funding should be directed towards improving stability, productivity and efficiency on farms.

Both unions also raised concerns about how future increases in agricultural funding are allocated through the Barnett formula.

Ms Reader said the current system risks disadvantaging Wales because agriculture plays a larger role in the national economy than in some other parts of the UK.

“When agriculture plays a more significant role in the national economy than in some other parts of the UK, we need to ensure that future uplifts to agricultural support fairly reflect the size and scale of the sector in Wales, rather than being tied to population size via the Barnett formula,” she said.

The unions also thanked the Welsh Liberal Democrats for supporting farmers during the recent dispute with the UK government over inheritance tax changes.

Ms Reader said the farming sector had secured an important concession following a lengthy campaign.

“After a long, hard-fought campaign, a fantastic outcome was secured in December when we saw the threshold at which IHT kicks in raised significantly,” she said.

She added that while concerns remain about taxing business assets as personal wealth, the higher thresholds and transferable allowances mean most Welsh family farms are now outside the scope of the tax.

Closing the event, Mr Rickman said the next Senedd term will be critical for the future of Welsh farming.

“Both Unions have today emphasised how fair and sustainable funding, evidence-based policymaking and regulatory reform will all be crucial to safeguarding the viability and long-term sustainability of Welsh agriculture,” he said.

He thanked Mr Chadwick for chairing the session and said both unions would continue engaging with political parties ahead of the election.

“Between now and May the 7th we look forward to continuing constructive engagement with all parties to ensure our shared asks are delivered for the benefit of our farmers, rural communities, and the wider Welsh economy,” he said.