More farming co-operatives could ‘unleash growth’ in UK, finds report

A new report highlights the potential for agricultural co-operatives to drive growth and enhance food security in the UK by improving farm resilience amid global crises such as the Middle East conflict. The policy paper, produced by the Co-operative Party, advocates for greater collaboration among farmers to pool resources, share risks, and invest collectively. It argues that expanding co-operatives could reduce farmers’ vulnerability to volatile input markets like fertiliser, fuel, and animal feed, while fostering shorter, more resilient supply chains and retaining greater economic value within rural communities. Currently, the UK has around 526 agricultural co-operatives generating over £9 billion in income, with about half of UK farmers involved in some form of co-operative membership. Prominent examples include the Arla dairy group and Berry Gardens Growers. Despite this, the report identifies significant room for growth and urges the Department for Environment, Food and Rural Affairs (Defra) to formalise support for co-operatives in its forthcoming 25-year Farming Roadmap for England. The Co-operative Party’s recommendations align with Labour’s 2024 manifesto commitment to support diverse business models, including co-operatives and mutuals. The call for increased co-operative farming comes amid rising concerns about the UK’s reliance on food imports. The country currently produces only 62% of its consumed food, with imports accounting for a large share of meat and fruit supplies. For instance, poultry imports rose 15% year-on-year to £5 billion in 2025, with significant volumes coming from Poland, the Netherlands, and Thailand. The UK imports 83% of its fruit, partly due to demand for non-native varieties like bananas. Challenges such as Brexit-related subsidy changes, climate-driven weather unpredictability, and global market pressures have further strained British farmers, underscoring the need for more resilient agricultural models. Joe Fortune, leader of the Co-operative Party, emphasised that co-operation offers strategic resilience in an era of supply disruptions and cost spikes. By enabling farmers to coordinate and adapt collectively, co-operatives could play a crucial role in strengthening the UK’s food system and rural economies in the face of ongoing uncertainty.