People in rural areas hit harder by cost of living crisis, while farmers also feeling the pinch

People who live in rural area are being hit harder during the cost of living crisis, it has been claimed.

Statistics show that countryfolk are being charged more for everyday items despite wages being lower than urban areas.

Meanwhile farmers are also feeling the pinch, with the NFU stating those who produce the nation’s food are facing ‘incredible pressures’.

A new report by the All-Party Parliamentary Group (APPG) on Rural Business and the Rural Powerhouse claims Government neglect of the rural economy has created a cost-of-living rural premium.

Evidence from more than 25 industry bodies, charities, campaign groups, companies, academics, and businesses reveal rural communities spend 10-20% more on everyday items like fuel, despite wages being 7.5% lower than their urban counterparts.

Inadequate power infrastructure in rural communities leaves 76% of countryside houses off the energy grid, which until recently, left them at the mercy of uncapped fuel prices with little government support.

“This report shows without question that those living and working in rural areas have been left at a serious disadvantage,” said York Outer MP Julian Sturdy, co-chair of the enquiry.

“This advantage worsens still in difficult economic circumstances.”

This paper recently reported on the worrying circumstances being faced by people in the area – with Spalding’s Agape food bank revealing it had spent as much on food in the first 10 weeks of the year as it had in the whole of 2022.

But the people producing the food are also facing crises.

“There are incredible pressures on us all at the moment and we thank shoppers in South Lincolnshire for continuing to buy British whenever possible as we all try to deal with the strain on our household budgets,” said Johanna Musson, the NFU’s county advisor for Holland.

“Our family farmers and growers are not immune, and we have also seen unprecedented cost inflation.

“Fuel costs have spiralled, there is wage inflation well in excess of 13 per cent, feed costs are up more than 70 per cent, fertiliser costs are up 270 per cent and the wholesale gas price alone, which dictates nearly all of this, is 650 per cent higher than in 2019.

“The NFU commissioned an independent report last year to evidence the effect of inflation on the horticulture sector in the UK.

“From March 2022 to October 2022, the report showed that production cost increases of up to 27% are being experienced by growers across the sector. *Again, please note that for some businesses, energy costs rose by 165%.

“As a result the NFU is calling for supply chain fairness and contracts for farmers and growers that are fit for purpose.”

As well as thanking shoppers for their support, M/? Musson encouraged them to continue to do so.

“NFU members in South Lincolnshire continue to keep us fed through tough times and shoppers can be assured that when they buy British food for their tables or plants for their gardens that these are produced to rigorous standards,” she continued.

“While we all deal with cost pressures, our farmers and growers are also doing all they can to boost productivity, protect the environment and manage volatility.

“The NFU wants to see Government policy that has productive farming and food production at its heart alongside the environment and we will continue to work hard for our members’ businesses in the months and years ahead as they continue to provide great tasting, quality food and drink for us.”

Mark Tufnell, president of the Country Land and Business Association, commented: “The depth of hardship we’ve seen across the countryside could have been mitigated.

“Successive governments have turned a blind eye to the vulnerability of the rural economy - while outdated policies have damaged the financial resilience of individuals, families and businesses.

“We desperately need a robust and ambitious plan for the rural economy; not only to protect these communities from economic shocks, but to unlock their enormous potential. Unless we stop treating the countryside like an afterthought, people will continue to suffer, and so will our economy”