UK MPs Demand Stronger Dairy Regulation Amidst Significant Milk Price Cuts

Recent cuts in the price paid to farmers for milk, reaching up to 18%, have led to renewed calls from UK Members of Parliament (MPs) for more robust regulation of the dairy industry. Anna Sabine, MP for Frome and East Somerset, and Wera Hobhouse, MP for Bath, are among the Liberal Democrat MPs advocating for urgent reform in response to these price reductions.

Anna Sabine criticized the current system, stating, "Our farmers are being grossly neglected and let down," citing concerns over reduced basic payments, increased family farm taxes, and the rollback of environmental incentives. The MPs argue that these issues are compounded by a fragmented regulatory system that allows supermarket chains to reduce payments to farmers.

Currently, the dairy industry is regulated by both the Groceries Code Adjudicator (GCA) and the Agricultural Supply Chain Adjudicator (ASCA). Critics argue that the dual-adjudicator system has led to a lack of cohesive oversight. There are calls for the establishment of a single, empowered regulator with the authority to enforce standards and ensure fair pricing throughout the supply chain.

Several dairy suppliers have announced significant price cuts. For example, Parkham Farms plans an 8p per litre reduction for November, lowering their price to 35.5ppl, a decrease of 18%. Freshways announced a 6ppl cut, while Arla Foods reported a 1.7ppl reduction for October, setting their price at 45.34ppl.

Wera Hobhouse highlighted the immense pressure that dairy farmers in the South West and beyond are currently facing due to these price cuts. She stated, "It is unacceptable that corporate buyers can slash prices without proper oversight," reinforcing the call for a single regulator to protect farmers' interests and ensure fairness across the supply chain.