The Government has missed an opportunity to encourage investment in new poultry housing, the NFU has said in its response to the Autumn Budget.
NFU president Tom Bradshaw said the Chancellor could have extended the Annual Investment Allowance to cover infrastructure including new poultry housing, as well as on-farm reservoirs.
“Action could have been taken on extending the Annual Investment Allowance to include infrastructure such as on-farm reservoirs or new poultry housing,” he said.
The NFU had called for the allowance to be increased to at least £5m and extended to cover farm buildings and essential production infrastructure, arguing this would help unlock investment in British food production.
The issue is particularly significant for the poultry sector, where ageing buildings and difficulties securing planning permission are holding back modernisation. The NFU said in May that its 2025 broiler shed survey found the average UK broiler house was more than 30 years old, with 15% of sheds in production at least 50 years old.
The NFU has estimated that more than 1,000 new poultry sheds are needed to keep pace with demand for British chicken.
The Budget also extended the cut in red diesel duty, but Bradshaw said the relief would offer limited help to farming businesses facing higher fuel costs.
The NFU criticised the Government for failing to reverse changes to Agricultural Property Relief and Business Property Relief, which it said continued to undermine confidence and investment across farming.
The union said the measures needed to support domestic food production had not been addressed, despite the Government’s commitment to strengthening food security.