Kingshay’s December 2025 dairy costings are starting to show clear pressure on margins as the UK milk market continues to face significant oversupply. December’s average milk price dropped to 40.22ppl, a 13% decrease compared with December 2024.
Despite lower concentrate prices, which are averaging £294/tonne for December 2025 (5% lower than the same month last year), the benefit has not offset the impact of falling milk prices.
The average margin over purchased feed for the month was £228 per cow, a decrease of 11% compared to the same month last year.
Milk from forage averaged 7.4 litres/cow/day, a 10% increase compared with December 2024. The prolonged dry weather and lack of grass growth meant many farmers had to feed more concentrates to maintain production. This additional input contributed to higher overall milk yields, which rose by 7% year-on-year to 29.4 litres/cow/day.
Rolling trends for the year ending December 2025 include -
- Concentrate use per cow was up 3.5% compared to last year at 3029kg/cow.
- Margin over purchased feed per litre was up 11.1% on last year to 33.03ppl.
- Bulk cell counts decreased to 151 (‘000).
- Yields averaged 8,826 litres per cow, increasing by 2.5% compared to the 12 months ending December 2024.
- Milk from forage was down 0.9% compared to the preceding 12 months to 2,518 litres per cow, providing 29% of total yield.
- Purchased feed costs were 11.43ppl, a decrease of 1.7% compared to last year, with concentrate prices of £302/tonne compared to £313/tonne in the previous year.
- Milk price was 7.5% higher than the preceding 12 months at 44.46ppl.
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More in-depth analysis of herds using Kingshay’s costings service can be found in Kingshay’s Dairy Costings Focus Report or call 01458 851555 for more details.
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If you are interested in analysing and comparing your herd’s figures with other similar herds, give us a call on 01458 851555. More details of this simple and easy-to-use service can be found here.