What foot-and-mouth disease in Germany could mean for UK farmers and how to stay financially secure

By Chris Wright, Consultant and ARA specialist

News of a foot-and-mouth disease (FMD) outbreak in Germany has sparked concern across the UK farming industry.

For the first time in 35 years, the disease has been detected in a herd of water buffalo near Berlin, prompting authorities to impose a 72-hour livestock transport ban and order a precautionary cull of 200 pigs.

While the virus does not pose a direct threat to human health, the impact on livestock farming is enormous.

Highly contagious and capable of spreading rapidly, FMD has the potential to devastate businesses, disrupt markets, and lead to mass culling of animals.

The 2001 outbreak in the UK remains a painful memory, with over six million animals slaughtered, billions of pounds lost across the agricultural sector, and long-term damage to farming businesses.

The National Farmers Union (NFU) has wasted no time in calling on the Government to ensure strong border protections to prevent the disease from reaching British farms.

But while the Government considers its response, farmers must focus on protecting their animals, their business, and their financial stability in case the worst happens.

The financial risks of an outbreak

The possibility of an FMD outbreak in the UK brings real financial uncertainty.

If the virus were to spread here, the consequences would be immediate.

Farmers could face movement restrictions, making it impossible to sell livestock or transport animals as planned.

Export markets for British meat and dairy could close overnight, putting pressure on prices and farm incomes.

And if an outbreak took hold, the culling of infected and at-risk livestock could leave some farms with nothing to rebuild from.

Even in areas not directly affected by an outbreak, the knock-on effect could be significant.

Consumers may lose confidence in affected food products, leading to reduced demand and lower prices.

Recovery takes time, and many farms would struggle to survive without financial preparation.

Practical steps to protect your farm’s finances

While farmers cannot control Government policy or border security, they can take steps to limit their own financial exposure.

Now is the time to review your business’s financial health, make sure the right protections are in place, and prepare for the unexpected.

One of the first things to check is your insurance coverage.

Many standard farm insurance policies do not cover losses caused by an FMD outbreak.

Some specialist policies do offer protection against livestock disease, but the terms vary widely, and it’s important to know exactly what is included.

Livestock insurance could help cover the financial loss from culled animals, while business interruption insurance may provide support if movement restrictions prevent you from trading as usual.

Farmers should also stay informed about potential Government compensation schemes, should an outbreak occur.

Beyond insurance, financial planning is key.

Farms that have strong cash reserves will be in a better position to weather disruption.

If movement bans or falling prices make it difficult to sell livestock, having an emergency fund could be the difference between surviving a tough season and facing financial ruin.

Now is the time to review cash flow, explore where savings could be made, and think about how to build financial resilience.

Alongside financial planning, biosecurity must remain a top priority. Preventing FMD from reaching the UK is crucial, but individual farms can also take steps to reduce the risk of infection.

Simple measures, such as controlling farm visitors, quarantining new animals before introducing them to a herd, and disinfecting vehicles and equipment, can help limit the chance of disease spreading.

Keeping detailed records of animal movements and ensuring farmworkers follow strict hygiene protocols are also important in preventing an outbreak.

Staying informed and taking action

With foot-and-mouth disease back in Europe, UK farmers cannot afford to be complacent.

The best way to protect your farm is to stay informed, take financial precautions, and ensure biosecurity measures are in place.

The NFU is leading efforts to push for stronger border controls, but farmers should also engage with industry discussions and support collective lobbying efforts.

At times like this, professional advice can make all the difference.

A thorough financial review, a well-structured risk management plan, and the right insurance protections can help farmers prepare for whatever comes next.

While there is no guarantee that FMD will reach the UK, history has shown that the financial impact of an outbreak can be devastating.

For advice on securing your farm’s finances, speak to our team today.