Eight in 100 English farm businesses generate almost two-thirds of output

Just 8% of England’s farm businesses account for 62% of agricultural output, while almost half generate just 2%, according to newly updated Defra figures.

The latest Farming Evidence Pack, updated on 21 September, shows a striking concentration of agricultural production among a relatively small proportion of businesses.

England had around 92,800 farm businesses covered by Defra’s economic-size analysis in 2025.

Around 7,600 were classed as “very high output”, yet together they generated 62% of total Standard Output while farming 33% of agricultural land.

At the other end of the scale, around 44,400 businesses — 48% of the total — fell into the “very low output” category.

Together, they accounted for just 2% of Standard Output and 9% of farmed land.

The figures do not measure farm profit or actual turnover.

Defra uses Standard Output, an estimate of the monetary value of agricultural production, to compare the economic size of different farm businesses.

A further 26% of businesses were classified as low output, generating 9% of total Standard Output from 21% of farmed land.

Medium-output businesses made up 10% of the total and generated 10% of output, while high-output businesses accounted for another 8% of businesses and 16% of output.

Taken together, the high and very high categories represented just 16% of farm businesses but generated 78% of Standard Output.

By contrast, the very low and low categories represented almost three-quarters of businesses but generated 11%.

The figures should not be read as a direct measure of farm efficiency.

Different agricultural sectors have very different relationships between land area and output, with intensive livestock, horticulture and other high-value enterprises capable of generating substantial Standard Output from comparatively small areas.

Extensive grazing businesses, meanwhile, may occupy much larger areas while producing lower values under Defra’s Standard Output methodology.

The latest figures suggest the concentration of output has changed little over the past year.

Very high-output businesses also represented 8% of English farm businesses in 2024 and generated 62% of total output.

However, the overall number of businesses included in the analysis fell from around 94,700 in 2024 to 92,800 in 2025 — a decline of roughly 1,900 businesses.

Defra’s figures classify businesses according to Standard Output bands, which estimate the value of agricultural production using values per hectare for crops and per head for livestock.

For crops, the calculation includes the principal product and saleable by-products such as straw.

For livestock, it includes the value of the main product, such as milk, eggs, lamb or pork, together with relevant secondary output.

That means a farm classed as high-output is not necessarily highly profitable, as production costs can vary significantly between businesses and sectors.

The figures underline the wide range of businesses that make up English agriculture — from small and part-time enterprises to large commercial operations — while showing that the overwhelming majority of measured agricultural output remains concentrated among a relatively small proportion of the sector.