Wednesday, November 5, 2008
This cannot be good
Farmers are borrowing money at record levels as higher dairy prices and better harvests encourage them to buy land and new machinery. However, analysts also said that volatility in grain prices and rising fuel and fertilizer prices had increased overdraft borrowing. Figures from the Bank of England showed that lending to the farming industry stood at £10.6bn in the third quarter. Lloyds TSB said that the figure was an all-time high.