UP TO four fifths of freehold farmers say they have been forced to look for alternative revenue streams by tough market conditions, according to new research.

About 80 per cent of farmers across Britain have sought to diversify from traditional arable, dairy or livestock production and use their land in other ways to boost income.

Research commissioned by Investec Wealth and Investment highlighted the continued challenges facing those working in agriculture.

Interviews with 100 freehold farmers found that all surveyed are trying alternatives in order to boost their incomes.

This included 80 who said they have felt pressed into diversifying by current market dynamics.

Farms have been hit by inflation, pressure from retailers and other clients to keep prices low as well as labour shortages in recent years.

More than half — 54 per cent — said their farm’s income had increased over the past two years because of other income streams.

Two-thirds also said they were increasing biodiversity through increased tree planting or carbon capture.

Scott Jones of Investec Wealth said: “The pressure of rising costs on their balance sheets is just one of several challenging external factors facing farmers at the moment.”