The UK Potato Sector Under Pressure

By Scott Walker, CEO, GB Potatoes

The humble potato may not make national headlines, but for Britain’s farmers and food system it has become emblematic of the pressures facing modern agriculture.  For decades, the UK potato sector has been a reliable cornerstone of our food system.  Affordable, versatile, and economically significant, potatoes have long been taken for granted.  Yet growers, packers and processors have repeatedly faced periods of volatility, uncertainty, and sudden price shocks.  None of these challenges are entirely new, but each successive crisis has chipped away at business resilience across the sector.

From Brexit and the pandemic, to the war in Ukraine, energy inflation, labour shortages and weather extremes, the industry has absorbed wave after wave of disruption.  Each period of instability has forced difficult commercial decisions and, over time, has led some businesses to scale back or leave the sector entirely.  The challenge facing the industry today is not simply another difficult season, but the cumulative effect of years of sustained pressure.

Global and domestic pressures are acute and converging.  The conflict in the Middle East has sent energy and fertiliser costs soaring.  Labour and machinery costs continue to climb and the removal of the Basic Payment Scheme in England has removed an important financial cushion that, over the past two decades, has helped many growers manage periods of volatility and absorb external shocks.  Contract prices for potatoes have weakened this year and tighter margins throughout the supply chain are increasing commercial pressures for both growers and buyers.  At the same time, depressed cereal markets provide little alternative income.  For many, the cumulative effect has left growers exposed, vulnerable and questioning the viability of this season.

The reality is stark.  While cropping commitments for the current season are now largely in place, many growers will be considering how much exposure they are willing to carry into 2027 and beyond.  Experiences will vary across the sector depending on market focus and contractual position, but supply-side shocks and rising cost pressures ultimately affect businesses throughout the supply chain.  While the sector has shown remarkable resilience over many years, resilience itself is not unlimited.  Without confidence and sustainable returns, there is a risk of gradual but permanent contraction in a sector that underpins more than £4.5 billion of economic activity and plays an important role in UK national food security.

Yet amid these challenges, there remains cause for cautious optimism.  This summer, GB Potatoes, in partnership with the National Potato Innovation Centre, is hosting the GB Potato Summit.  The Summit brings together growers, researchers, policymakers, and industry leaders to explore how science, technology, policy and collaboration can help strengthen resilience and support long-term profitable growth across the sector.  From tackling emerging pests and diseases to improving soil health and reducing reliance on costly inputs, innovation and practical policy frameworks will be central to securing the future of the industry.

The UK potato industry has the potential to grow in value, underpinned by smarter technologies, science-led production practices, and evolving consumer demand.  Realising the potential will require greater alignment between government policy, research investment, and supply chain innovation.  A goal consistent with the UK Government’s proposed Food Strategy, Scotland’s National Good Food Nation Plan and the ambition of the new Farming and Food Partnership Board.

The potato sector is not facing a single defining crossroads moment.  Rather, it is navigating a period of uncertainty in which businesses are continually adapting to rising risks and diminishing resilience.  Growers will face difficult choices, but the path forward is not without hope.  Through decisive action, partnership, and innovation, the UK potato industry can emerge stronger, more resilient, and better positioned to deliver for growers, consumers, and the nation.

The potato, long taken for granted, may yet prove a barometer for the broader challenges and opportunities confronting British agriculture in the twenty-first century.  The coming months will test resolve, ingenuity, and leadership — and those who act decisively now will shape the future of Britain’s most essential and favourite crop, and the sector, for decades to come.