Farm diversification

Farming in the UK today is no longer as profitable for everybody as it has been. Reasons for this are:

  • Supermarkets buy in bulk and are driving down the price of the food
  • Imported food is often cheaper
  • Mechanisation and changes to grants have meant smaller farms and hill farms go out of business

Farms can diversify to try and keep making money. This means that the farm will start to create other areas of income, such as creating a tourist attraction, offering bed and breakfast or selling produce via a farm shop. Some farms may also close and start a different business on the land.