Co-op announces £820k fund to reward farmers’ efforts in reducing carbon emissions
21st January 2025
Co-op has just announced a new £820,000 fund to support sustainable farming efforts. The investment will see farmers directly rewarded for their efforts in reducing carbon emissions and promoting nature on their farms across beef, lamb and dairy sectors as part of two new sustainability projects.
Co-op said that the company is a long-term supporter of British farming and was the first national UK grocer to have 100% of all its fresh and frozen chicken, pork, beef and lamb sourced from UK farms including when used as an ingredient, a commitment that began in 2014 and stands by still.
The convenience retailer only sells British free-range eggs, milk and cream too.
Matt Hood, managing director at Co-op, said: “We know British farmers are facing many challenges and have seen firsthand the fear, anxiety and anger they are currently feeling.
“Backing UK agriculture is more important than ever, at Co-op, this means investing hundreds of millions every year to be one of the few UK retailers to be totally 100% British across meat, poultry and dairy throughout our own supply chain and committing support for farmers addressing the growing need for sustainability and climate resilience.
“We know our members and customers feel the same and they value being able to buy the high-quality, British-sourced products they love.”
‘We need to work together across the supply chain’
The £820,000 fund will be allocated across two key projects, with participating farmers able to access sustainability payments above the price they are already paid for their products.
The first project will focus on the dairy sector and will see Co-op partnering with the Soil Association Exchange to support the 140 farmers in its Dairy Farming Group in reducing their carbon footprint and begin to baseline key nature indicators like biodiversity and soil health.
Sustainability payments will be rewarded to the farms as part of the project, whilst farmers will be able to choose an action plan that works for them, with support from Soil Association Exchange advisors, which could include cutting fertiliser use, increasing fuel efficiency, and investing in solar energy.
The second project, Co-op’s Beef Sustainability Scheme, will reward farmers for adopting on-farm sustainable practices and will be open to members of Co-op’s farming group.
The scheme, which launches after a successful two-year pilot, will be extended to 15% of the retailer’s beef supply chain this year and include lamb farmers for the first time.
More than 100,000 tonnes of carbon are expected to be saved under the programme over a five-year period as we grow the percentage of our beef and lamb supply covered by the scheme. Farmers will be reducing their impact through a range of actions, from breeding more efficient animals to improving forage quality.
Tom Bramall, dairy farmer and chair of the Co-op Dairy Group, said: “In these uncertain times for our industry, we need to work together across the supply chain.
“Farmers like me, want to play our part when it comes to sustainability, but we need support. It’s fantastic to see the Co-op directly rewarding farmers and recognise the positive role we play in addressing the issues around climate change.
“I appreciate the significant investment this is for Co-op in us and look forward to working in partnership with them over the coming years.”
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