Total income from farming estimates: 2018-2024
Total income from farming (TIFF) is the official measure of the profit gained by the agricultural industry in Scotland. It provides a breakdown of the value of farm production, support payments and costs. An Accredited Official Statistics publication for Scotland.
First published: 29 May 2025.
Additional tables released: 12 June 2025.
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Farm costs decrease from record high
Total costs to farming are estimated at around £3.8 billion in 2024. Total costs remain high but decrease 11% from a record high in 2023. Between 2021 and 2024, large increases are seen across a range of farm costs. Particularly large increases are felt for costs of fertiliser, feed and labour. Increases in consumption of fixed capital and rising interest costs are also seen. Cost changes will impact some farming sectors more than others.
Estimates for 2024 costs are based on early indications for some figures and rely on projecting figures forward from the previous year. They will be revised next year when more data become available.
This is the first release of total income from farming since 2020 figures were released. While this section focuses on the most recent year, commentary on changes since 2020 is included in the section Total income from farming recovers.
Figure 5: Farm costs, 2019 to 2024, current (nominal) prices.
The rest of this page reports in millions to provide better comparisons between smaller figures.
Cost breakdown
In 2024, total feed costs are estimated at around £752 million, further decreasing from a record high of £920 million in 2022 when cereal market prices were at exceptional highs. Costs for feedstuffs can be affected by factors such as extreme weather events or global markets.
Total fertiliser and lime costs peaked in 2023 as fertiliser market prices reached a record high. Total costs in 2023 are estimated at around £500 million. Costs are estimated to remain high in 2024, but decrease 48% to around £259 million.
Labour costs continue to trend upwards from the period of relative stability prior to 2016. Between 2016 and 2022, labour costs increased by just over 40% in real terms. Total labour costs were estimated at around £707 million in 2023, an increase of 10% (3% in real terms) from the 2022 estimate. Current estimates for 2024 are similar to the 2023 estimate.
Labour costs estimates are now based on combining data from the Farm Business Survey with information from the June Agricultural Census. As 2024 data are not yet available from the Farm Business Survey, 2024 estimates will be revised next year.
Costs for machinery and vehicle fuels and oils also reached a peak in 2022, decreasing only slightly in 2023 and continuing to decrease but remaining high in 2024.
Increasing net interest costs are seen in 2023 as interest rates increase, with some sign of reducing for 2024 as interest rates fall.
Consumption of fixed capital (commonly referred to as depreciation), recognises the economic cost of using up previous capital investment (in livestock, buildings, plant and machinery). Capital fixed costs rose in recent years, reaching a high in 2023 before dropping back only slightly in 2024. Increases in 2023 for cattle might be attributed to increased demand for store cattle, which remains strong in 2024.
Figure 6: Main contributors to farm costs, 2023 and 2024, current (nominal) prices.
Table 3: Farm costs, 2023 and 2024, current (nominal) prices and percentage change (current and real terms).
| Measure (£ million) | 2023 current (nominal) prices | 2024 current (nominal) prices | Percentage change current (nominal) prices |
Percentage change real (2024) prices |
|---|---|---|---|---|
|
1) Feedstuff |
816 |
752 |
-8% |
-11% |
|
2) Seed |
110 |
110 |
0% |
-4% |
|
3) Fertilisers and lime |
500 |
259 |
-48% |
-50% |
|
4) Farm maintenance |
92 |
83 |
-10% |
-13% |
|
5) Total miscellaneous expenses |
1,192 |
1,087 |
-9% |
-12% |
|
Machinery repairs |
166 |
156 |
-6% |
-10% |
|
Machinery and vehicle fuel and oil |
169 |
127 |
-25% |
-28% |
|
Other machinery expenses |
3 |
3 |
9% |
5% |
|
Electricity and heating |
48 |
45 |
-7% |
-10% |
|
Veterinary expenses |
83 |
80 |
-3% |
-7% |
|
Crop protection |
94 |
78 |
-17% |
-20% |
|
Contract work |
129 |
119 |
-8% |
-11% |
|
Other |
500 |
478 |
-4% |
-8% |
|
6) FISIM (Financial Intermediation Services Indirectly Measured) |
62 |
55 |
-12% |
-15% |
|
7) Total Non-agricultural activities |
48 |
42 |
-11% |
-15% |
|
8) GROSS INPUT = 1+2+3+4+5+6+7 |
2,820 |
2,388 |
-15% |
-19% |
|
9) Total Consumption of Fixed Capital |
607 |
584 |
-4% |
-8% |
|
10) Hired Labour |
707 |
707 |
0% |
-4% |
|
11) Net Interest |
90 |
86 |
-4% |
-8% |
|
12) Net Rent |
15 |
21 |
39% |
34% |
|
13) Taxes on Production |
18 |
21 |
12% |
8% |
|
Total Costs = 8+9+10+11+12+13 |
4,258 |
3,807 |
-11% |
-14% |