Small abattoirs across the UK are facing a critical moment as the Food Standards Agency (FSA) meets to decide the future of a discount many say their survival depends on.
The FSA Board will convene on Wednesday (18 June) to review evidence relating to the Small Abattoir Discount on meat inspection charges — a financial support mechanism considered vital by many in the local meat sector.
Currently, this longstanding discount covers up to 90% of meat inspection charges for smaller abattoirs.
As inspection fees are charged per hour of veterinary time rather than based on throughput, large-scale processors benefit from far greater economies of scale.
For smaller abattoirs, the cost per animal is around nine times higher, making the discount a crucial financial buffer.
Without it, many small abattoirs say they will be forced to either close their doors or pass on the added costs to customers.
The Association of Independent Meat Suppliers has warned that up to 40% of small abattoirs could shut if the discount is scrapped.
Concerns about the possible removal or reduction of the discount have triggered alarm across the industry.
Over the past six months, multiple organisations have been working to gather evidence and participate in the FSA’s consultation process to demonstrate the risks of removing this support.
A survey conducted by the Sustainable Food Trust, in partnership with the Soil Association and the Rare Breeds Survival Trust, found that the sector is already under severe strain.
Of the 850 UK farmers surveyed who rely on abattoirs, one-third said the abattoir they previously used had shut down in the past five years.
If their current facility were to close, 43% said they would no longer sell meat locally, and 29% would be forced to shut down their businesses altogether.
When asked about the impact of a 10% increase in abattoir charges, one-third of farmers said they would have no choice but to pass the cost on to consumers.
A quarter said they would try to absorb the cost, further eroding already tight profit margins, while 11% said they would seriously consider the future viability of their operations and might be forced to close.
The sector is now anxiously awaiting the FSA Board’s decision. If the recommendation to retain the discount is accepted, it will move to Defra for ministerial approval, followed by a formal consultation on how the discount should be implemented and who should be eligible.
However, if the Board decides against continuing the scheme, it will be a severe setback for small abattoirs, local meat supply chains and the farmers who depend on them.
In such a case, campaign groups including the Sustainable Food Trust, Soil Association and Rare Breeds Survival Trust have pledged to launch a broader public campaign to raise awareness of the impact on food security, rural economies and consumer choice.
