More than a quarter of UK farmers are now planning to cut back or stop farming altogether.

According to research from NFU Mutual, the percentage of the industry eyeing their exit options has risen to 28%, up from 20% last year.

The rural insurer’s annual 'Voice of the Farmer' study spoke extensively to a representative sample of 1654 farmers across the UK, and found trends coinciding with evidence that the average age of farmers is continuing to climb, and succession issues are becoming ever more pressing.

More than half of the farmers surveyed (57%) were over 65, while just 5.4% were under 45, reflecting the ageing demographic of the industry.

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Chartered Financial Planner at the insurer, Sean McCann, said: “This research suggests more farmers are now thinking of reducing their involvement and passing responsibility to the younger generation.

“Planning how and when to hand down the farm can be daunting, especially when there is uncertainty around input prices and the future of agricultural policy.

“Only by talking about these issues and thinking ahead as much as possible can you start securing the financial future of your farm and your family."