Farmers in the UK have gained a reputation for complaining loudly that they are earning too little and working too hard. The latest evidence suggests that, this time at least, they are right.

The figures, released inadvertently before publication by Maff, paint a picture of gathering gloom:

In 1990, when the pound stood at 2.80 Deutschmarks, farm incomes were �2.5bn. By 1995, the pound was DM2.20 and farmers were earning �5.5bn.

But by mid-1999, with the pound back at more than DM2.80, farm incomes were down to about �2.25bn. It is now well over DM3.10.

Sterling performance

Farmers are hit by the strong pound in two ways:

It was spelled out by the Agriculture Minister, Nick Brown, who said he could not be expected to claim every bit of money available in future, because to do so would be to load an extra burden on taxpayers.

Every pound paid under the system affects the UK's annual rebate from Brussels under the Fontainebleau agreement.

NFU conference

The NFU is holding its annual conference on 1 and 2 February.

He said investment was easier to justify if it was tied to long-term change and reform. "It can't just be about money," he said.

The Conservative agriculture spokesman, Tim Yeo, commenting on one of the worst-hit sectors, said: "In the case of the pig industry there are only weeks, not months, left to do something to help it to survive".

For many farmers, it looks as if things are likely to get even worse before they can hope to get better.