Inflation-busting rise in abattoir fees reignites row between Labour and farmers

Yahoo

23-03-2025

An inflation-busting increase in fees levied on abattoirs has inflamed tensions between farmers and the Government, amid growing criticism of Labour's treatment of the agricultural industry.
Farmers have called on the Government to step in and ease financial pressure on abattoirs, which are facing steep increases in the cost of food safety inspections this year.
David Barton, a Cotswolds-based livestock farmer and chair of the National Farmers Union (NFU) livestock board, said: 'We desperately need to keep our small and medium-sized abattoirs going, because that feeds a whole sector of farmers that are selling boxed beef or delivering to small farm shops. It's massively important for the rural economy.'
Under food safety laws, abattoirs must have inspectors and official vets on site to make sure animal welfare standards are met. These costs are largely borne by the abattoirs themselves and charged by the Food Standards Agency (FSA), a non-ministerial government body.
Abattoirs were last month informed that the hourly rate paid to official vets will rise by 17.7pc to £65.90, while the rate for meat hygiene inspectors will increase 11.3pc to £43.20 from the end of March.
Although the smallest abattoirs receive money off the fees, the Government is currently considering proposals that could see them rise sharply once more if it decides to phase out a so-called discount that was enacted in 2016.
Mr Barton added: 'This is a government agency, that is probably quite efficient, passing all of their costs back through the processors. We're fine with paying some of the cost of that, but to have to pay for the cost of that entire department is rather unfair.'
Farmers and rural business owners have been angered by changes to inheritance tax (IHT) relief for agricultural businesses, which they warn could force many family farms out of business.
Earlier this month, they were incensed further when the Government halted sustainable farming subsidies with no warning.
Some rural groups, such as the campaigners Farmers to Action, have gone as far as calling for a nationwide 'day of action' in opposition to Labour's farming policies next week, which will see tractor convoys and protesters gather outside Labour offices on Monday 24 March.
Smaller abattoirs have been closing at pace across Britain, shutting down at a rate of about 10pc per year according to FSA data. High costs, lower margins and the burden of regulation have been blamed for the closures.
Eleanor O'Brien, managing director of National Craft Butchers, said: 'If you are a medium-sized abattoir, you are under the same level of regulation and bureaucracy as the largest abattoir in the country. Someone processing 100 pigs a week is not the same level of risk as someone processing 100 pigs a day, but yet has the same level of regulation.'
Small and medium-sized abattoirs are a crucial resource for farmers, especially those who rear rare breeds or sell their produce locally in smaller volumes than mass retail.
Will Simkin, the owner of Essington Farm, near Wolverhampton, added: 'If we haven't got an abattoir, then our business doesn't exist because we can't sell to our customers. If these small abattoirs close, all you're left with are big, massive corporate farms. It's a drain on the rural economy.'
Dr James Cooper of the FSA said: 'Our official vets and meat hygiene inspectors carry out checks at abattoirs to make sure meat is safe for people to eat, and to assure high animal welfare standards.
'These checks are required by law, and they don't just protect public health, they also support industry growth by enabling meat producers to export their products and ensuring people can have confidence in British meat.
'While we understand concerns, the reality of global vet shortages and inflation means these checks now cost more to carry out. For many years we've been providing a discount on the costs of regulation, which can be up to 90pc for the smallest abattoirs.'
A government spokesman added: 'We recognise that small abattoirs make a vital contribution towards maintaining our resilient food supply chain and provide a competitive route to market for producers of rare and native breeds. We are committed to working with the meat processing sector in tackling the challenges they face.'
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