Whole Farm Benchmarks Tool 2023-24

Refers to the average numbers carried over the year, not the total stock carry. For example 100 animals carried for 6 months would appear as 50.

The net revenue received for all entitlements, including greening and coupled payments.

The change in valuation of breeding livestock (cows, ewes and sows) which arise from increases or decreases in market values. Variations in the quality, structure or size of the herd or flock are not included in the calculations of BLSA. This removes any element of ‘paper profit or loss’ in valuations of breeding livestock from the FBI calculation.

The value of home grown crops plus purchased concentrates in the whole farm costings, but are shown separately for the livestock enterprise gross margins.

For crop enterprises (Cereals, Other Crops) revenue is adjusted for valuation change plus the market value of any part of the crop used on the farm. For cash crops, closing crop valuations are based on what the crop is eventually sold for (not its cost of production), or its subsequent home-use (feed or seed). For forage crops, the value of home-grown usage is not included. “Other crops” includes: other cash crops, other cash crops land let, standing crops sold, fodder crops and by-products and cultivation valuation change.

The cost of crop protection materials in the form of sprays; granules; pellets; dust etc, including fungicides; herbicides; crop insecticides; slug pellets etc applied to the growing crop. Storage protection costs such as smoke fumigants and preservatives that are applied to the crop for storage (propcorn; hay and silage additives; potato sprout suppressants etc) are included with Sundry Crop Expenses.

Covers depreciation of machinery and property that is used for farming activities.

The margin from any diversification enterprises that use farm based resources (e.g. an ex-farm worker cottage used for tourism). Besides recording any outputs and costs relating to farm diversification separately, any associated assets (e.g. the ex-farm cottage) and liabilities e.g. a loan) are also kept separate from the farm balance sheet, so that depreciation and interest can be correctly allocated to the diversification activities.

Ewes and rearing cows converted to ewe equivalents. One rearing cow is equivalent to 7.5 ewes.

Measures the overall performance of the business – farming, support and farm diversification. It excludes income from off-farm work, non-farm diversification (e.g. rent from an owned town house) and non-farm investments. FBI is the headline measure of farm income across the UK. FBI better reflects actual incomes of farm businesses and is, in most cases, similar to the net profit. Any differences are largely explained by inclusion of property depreciation and any margin from diversification using farm resources in the FBI.

A headline benchmark for assessing business performance. Calculated by dividing a farm’s FBI by its output.

Output less total variable costs.

The cost of both chemical and organic fertilisers (purchased FYM such as hen manure), peat composts, combined fertilisers/insecticides and trace element dusts and sprays applied to make good a mineral deficiency in crops or herbage. Also includes cost of haulage to farm. These are distinct from possible crop protection applications of such compounds, which should be recorded elsewhere.

For lime, where spreading only (i.e. excluding the cost of the lime) the cost is charged to crop contract work, but for inclusive delivery and spreading costs where the material costs cannot be identified separately, enter the full amount as lime.

Usually costs that cannot be varied in the short term or allocated against a specific enterprise. Though it is now common practice to allocate casual labour, haulage and machinery contracting to fixed costs to provide consistency (e.g. compare a farmer that has little machinery but uses a lot of contractors with a farmer that does all his own machinery operations).

Represents the average number of grazing livestock, converted to a standard basis, carried on the farm over the year. For example, one dairy cow is equivalent to one GLU.

A measure of stocking rate. The area comprises grass for hay, silage and grazing plus the area of rough grazing converted into its hectare equivalent of average quality grazing. The forage area excludes keep let for grazing or taken on a seasonal basis. Significant areas of such will affect the usefulness of this measure.

Covers the cost of straw from crops grown on the farm and costed at local ex-farm values based on what it could have been sold to a neighbour (i.e. excludes haulage cost element).

Includes the cost of; wintering (e.g. of ewe hoggs), agistment (e.g. summer grazing of cattle on a payment per head basis), contract rearing where main feed is grazing or forage and a building provided for temporary shelter only, and seasonal grazing where no silage taken. The area is not added to the farm’s area.

Agistment is the temporary grazing/rearing of livestock on another farm in return for a payment per head per day (week or month or set period). It is most commonly done with ewe hoggs by hill farms that have a shortage of winter grazing or unfavourable winter weather. It is similar to contract rearing in that the animals are on another farm being reared by another farmer who does not own them.

Where such animals are away from the recorded farm at the end of the financial year, their value and numbers are to be included in the valuations, but the average numbers (ALN) refer only to the actual time spent on the recorded farm. Any sales, deaths or purchases whilst away are recorded as part of the farm account.

Where contract rearing is more formalised (includes significant sums for concentrates and housing) do not include in Keep Taken. Instead, split the cost between “concentrates”, “roughages” and “sundry livestock expenses” [to cover the hire of the shed plus the machinery and labour services of the contract rearer]. The contract rearer includes the ALN of the grazier’s stock. However, if the main source of feed is grazing or forage, with a building provided as temporary shelter, the total cost may be included here as Keep Taken.

Is the revenue received from the Less Favoured Area Support Scheme.

For each livestock enterprise (Milk, Cattle, Sheep and Wool, Other Livestock) is revenue adjusted for valuation change plus the market value of production consumed on the farm less purchases’ of livestock. The market valuation changes for cows, ewes, sows and gilts – breeding livestock appreciated (BLSA) – is excluded to remove any element of “paper profits or losses”.

The total number of ewes put to tup in previous autumn plus, where practiced, the number of ewe hogs scanned in lamb.

A category of fixed costs that includes property repairs, water, rates, insurance and miscellaneous (e.g. office).

Includes the output of all farm enterprises, subsidies and diversification that uses farm resources.

A category of fixed costs that includes both regular and casual labour costs.

The page shows key physical information about the farm type chosen.

A category of fixed costs that includes repairs, fuel (incl. drying fuel), oil, electricity, contracting, crop haulage, livestock haulage, leasing and hire.

A category of fixed costs that covers interest (bank, HP, loans) and rent (excluding keep).

Includes the cost of hay; haylage; straw for fodder or edible litter; roots; stock-feed potatoes; other vegetable residues; draff; forage improvers/enhancers applied to forage at the time of consumption. Additives for silage or hay applied at harvest are included with “sundry crop expenses”. If a standing fodder crop is purchased and not sold on, it should be included here. Also include here any straw bought as part of a standing crop for use rather than resale.

A survey of the accounts of 400 Scottish farms completed annually. The information helps the Scottish Government understand how Scottish farming is faring and provides a basis for testing future policy development. The survey is based on management rather than tax accounting methods. While not suitable for tax purposes, the report provides useful information for farm management.

The value of home grown crop saved for seeding future crops.

Excludes income from farm diversification, but includes; miscellaneous revenue (crop damage compensation, net gain from sale of purchased standing crops, rent for livestock and crop storage buildings), other sundry receipts (wayleaves, co-operative trading bonuses etc.), contract work, contract farming and contract rearing of livestock.

Includes disinfectants; detergents; inedible litter such as sawdust; stud fees; artificial breeding (e.g. AI, synchronisation, laparoscopic AI, sponging); bull hire; freeze branding; ewe scanning; QMS subscription; breed society fees; show expenses; advertising livestock, vet costs for working farm dogs, miscellaneous dairy expenses (eg liners, filters, dairy detergents); small items of specialist livestock equipment; marketing expenses (except haulage); commission on sales; disposal of livestock related chemicals bought in the year and packing materials for livestock products etc.

The amount paid for the hire of a building is to be included when the buildings are used to house animals and/or store products used in connection therewith (e.g. fodder). Where keep is provided with building hire, the feed, concentrate and roughage elements are to be recorded to their specific codes above.

Costs of contract work, inclusive of labour and equipment for specific animal husbandry operations, (eg shearing; dipping; foot rot treatment; hoof trimming etc) are included here. However cost of casual workers engaged to assist farm staff in these and other tasks should be recorded as “casual labour”.

Costs incurred directly in connection with the production, storage and marketing of crops that are not allocated elsewhere. Enter marketing charges (including any cost associated with meeting shortfall in the tonnage/quality of a crop contracted); packing materials; soil analysis; show expenses; crop protection, processing and preserving materials; British Potato Council levy; potato inspection charges; baler twine; baler wire; potato rogueing, etc.

Other charges to be included are production costs such as: plastic sheets for mulching or low polythene tunnels of limited life; crop processing for storage; seed dressing prior to sale (but not seed for home-use, to be included with seed costs); propcorn, maxamon, haymaster and silage sprays that have no direct feed value (otherwise roughages); wrapping, bags and nets for hay, haylage or silage; stakes/wire for raspberry establishment; crop covers; specific crop advice (including advice on spraying); potato box hire; security guards for crops; cereal roguing for wild oats and disposal of crop related sprays bought in the year.

Costs of repairing potato boxes are included in Machinery Repairs , and purchases of potato boxes are posted to Other Machinery bought. The amount paid for the hire of a building is to be included when the buildings are used for marketable crops eg the storage of cereals. Soil Association (organic) fees are not included here but in Miscellaneous.

The total area farmed regardless of land quality.

The total area farmed, including rough grazing converted to the equivalent area of average quality grassland. Thus variations in the quality of rough grazing are reduced to enable more meaningful comparisons to be made.

The total adjusted area less the total crop area and is used for calculating stocking rates.

The average number of grazing livestock, converted to a standard basis based on feed requirements, carried on the farm over the year. For example, one dairy cow is equivalent to one GLU and one lowland ewe 0.11 GLU.

Those items of cost most readily allocated to specific farm enterprises. Though contracting, casual labour and haulage could be termed variable; these costs are treated as fixed to ensure fair comparison between farms using contractors/hauliers/casuals and farms undertaking the same operations with their own machinery and staff.

All veterinary fees; medicines; dips; doses and drenches (whether oral, vaccination or pour-on); and other involuntary intakes.