Diversified income gap widens

Around 300 farms have been providing us with their data over the last five years, including farms both with and without diversified activities. This allows us to see changes in their diversified activity that generates income. Diversified activities are non-agricultural activities that use farm resources.

More than half of farms have diversified activities that generate additional incomes to their businesses. In 2024-25, 60% of farms had at least one diversified activity.

The average revenue from diversified activities increased by 7% in 2024-25 to around £13,000. The average number of diversified activities on farms with any diversified activity remained stable at 1.6.

The overall income gap between farms with and without diversification activities widened to £32,600 in 2024-25, from £20,300 the previous year.  

The most common diversified activity continues to be renting out farm buildings (for purposes other than tourist accommodation). Other common profitable activities that farmers are doing include micro electricity generation, wind turbines and hosting mobile telephone masts.

Figure 9: Average farm income, farms with and without diversified activities, 2020-21 to 2024‑25. 2024-25 prices.