Understand
Sheep farming in the UK faces decline amid rising costs, changing subsidies, and shifting consumer habits
Overview
Sheep numbers in the UK have fallen to their lowest levels in living memory due to rising operational costs, reduced farming subsidies, post-Brexit trade deals increasing foreign competition, and a significant drop in domestic lamb and mutton consumption over the past fifty years. While some farmers are shifting towards cattle or nature-recovery schemes to improve profitability and biodiversity, others face an uncertain future. However, strong demand from the UK's growing Muslim population for halal meat continues to provide a vital domestic market for the sheep industry.
Key points
- Breeding ewes in the UK have dropped to 14.7 million, with the overall national flock falling to 30.4 million in 2025.
- Average UK household consumption of sheep meat dropped from 128g per person per week in 1980 to 23g in 2024.
- Post-Brexit trade deals with Australia and New Zealand have increased competition by eliminating tariffs and providing large export quotas.
- Government agricultural subsidies have increasingly shifted away from livestock volume towards nature recovery and environmental stewardship.
- Studies show that replacing sheep with cattle or rewilding projects can significantly boost plant diversity and wildlife populations.
- Muslim consumers, who make up roughly 6.5% of the population, account for 30% of annual UK lamb sales and provide essential support for the domestic sheep industry.