Approximate read time: 5 minutes

The House of Lords is scheduled to consider the following question for short debate on 12 February 2026:

Lord Rooker (Labour) to ask His Majesty’s Government  what assessment they have made of the economic impact of the UK flour milling sector.

1. UK agri-food sector

The agri-food sector contributed £153.2bn to the UK’s economy in 2023, 6.2% of national gross value added (GVA).[1] Food and drink manufacturing constituted £37.1bn, 24% of the agri-food sector’s total GVA.

The sector employed 4.1 million people in 2025 in Great Britain, constituting 11.7% of Great Britain’s workforce. Of these employees, 444,000 worked in food and drink manufacturing.

2. UK flour milling

According to the flour millers’ trade association UK Flour Millers, the flour milling industry generated an estimated £2.2bn in turnover in 2024.[2] In terms of GVA, UK Flour Millers has reported the sector contributed £370mn to the UK economy in the same year.

In addition to the direct economic impact of the sector, UK Flour Millers argued that:

  • the supply chain impact of the sector—goods and services bought from other businesses to make flour—contributes £295mn to the UK economy
  • the spending of employees both within the flour milling industry and within the companies that form its supply chain also contributed a further £110mn

Based on these estimates, UK Flour Millers reported that the total contribution of the sector to the UK economy was £770mn.

The same report stated that 2,600 people were employed in the UK flour milling sector. The supply chain supported the employment of 5,190 people. The wider economic impact in terms of spending by people in the sector supported the employment of 1,300 people.

There are currently 51 mills in the UK and 32 flour milling companies.[3] UK Flour Millers estimates that the four largest companies account for approximately 65% of UK flour production.

Further estimates by UK Flour Millers of the size of the sector and the methodology used to calculate these estimates are provided in its report ‘Nourishing the nation: The economic impact of the UK flour milling industry’ (January 2025).

3. Flour milling and cereal production

The majority of wheat used in UK flour mills—between 80 and 85%—is grown domestically.[4] UK Flour Millers estimated the milling industry requires 5mn tonnes of wheat each year to produce 4mn tonnes of flour.

One of the issues UK Flour Millers has identified as a potential challenge facing the sector is the impact of extreme weather on the supply of wheat crops.[5] Recent figures indicate a reduction in the yield of the main cereal crops in the UK in 2025 when compared with 2023, with the exception of winter barley.[6] The Department for Environment, Food and Rural Affairs (Defra) notes in its most recent report on cereal and oilseed production that:

Initial good weather meant that the 2025 harvest progressed quickly, with many growers finishing ahead of a typical year. However, in September, wet weather hindered the ability to harvest remaining crops towards the end of the season, resulting in a mixed picture across the UK with considerable variability in yield between regions and countries.[7]

4. UK government food strategy for England

Agriculture policy is devolved in the UK.[8] The UK government does not have a specific strategy for supporting the flour milling industry. However, it has recently published an overall food strategy for England. The UK government food strategy for England set out the outcomes the government wanted from the food system, including improving the affordability of food, public health and the resilience and sustainability of the food system.[9] In February 2026, the government said it would be publishing further details about how this plan would be implemented, stating:

Defra is working with the food system to consider the best way of achieving these outcomes. The department will consider the need for legislation, alongside the wide range of other policy tools that can help deliver outcomes and will seek to make space in the legislative timetable if needed.[10]

5. Read more


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References

  1. Department for Environment, Food and Rural Affairs, ‘Food statistics in your pocket’, updated 9 February 2026. Return to text
  2. UK Flour Millers, ‘Nourishing the nation: The economic impact of the UK flour milling industry’, January 2025. Return to text
  3. UK Flour Millers, ‘More to explore in flour milling: The flour milling industry’, accessed 6 February 2026. Return to text
  4. UK Flour Millers, ‘Wheat guide 2025’, 2025. Return to text
  5. As above. Return to text
  6. Department for Environment, Food and Rural Affairs, ‘Cereal and oilseed production in the United Kingdom 2025’, updated 20 January 2026. Return to text
  7. As above. Return to text
  8. Further information on the devolution settlement is provided in the House of Commons Library briefing ‘Introduction to devolution in the United Kingdom’ (21 May 2024). Return to text
  9. Department for Environment, Food and Rural Affairs, ‘A UK government food strategy for England, considering the wider UK food system’, 15 July 2025. Return to text
  10. House of Commons, ‘Written question: Food (107677)’, 3 February 2026. Return to text