Duke's Grosvenor Farms Battles Heatwaves, Fertiliser Costs

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- Grosvenor Farms runs 2,600 Holstein friesian cows at Lea Manor Farm producing 34m litres of milk a year for Müller and Tesco, but the June heatwave at 36C cut each cow's yield by up to six litres a day — and as much as 10 litres at other UK farms.
- Mark Preston, Grosvenor executive trustee, warned in May that fertiliser shortages from the Iran war's near-total blockade of the Strait of Hormuz could hit food prices next year, a risk echoed by David Miliband as a "food security timebomb."
- The farming division posted £2.6m pre-tax profit in 2024 (down from £3.6m the prior year) on £16.2m turnover, while the Duke received £53.7m in 2025 dividends from the wider £9.5bn-fortune Grosvenor group.
- Grosvenor is building a 2.4-hectare biomethane plant on the estate expected to generate 72GWh of renewable gas a year from up to 170,000 tonnes of cow manure, enough to heat about 6,000 homes starting next year.
- Lea Manor Farm grows more than 80% of its dairy herd's forage without artificial fertilisers and has not bought mined phosphate or potash for about 15 years, relying on circular use of manure and crop waste.
- Half of England and Wales is officially in drought, with wheat at half normal height and broccoli yields down 50%, forcing the UK to import more food from Spain while global prices rise.
Why it matters: The Duke's farm is a microcosm of UK agriculture's squeeze: climate extremes cut output, war-driven fertiliser costs erode margins, and post-Brexit labour shortages bite — yet Grosvenor's diversified portfolio shielded the duke with £53.7m in 2025 dividends while the farming division's profit fell nearly 28% year-on-year. The biomethane plant signals how large estates can monetise waste streams smaller farms cannot.
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