Lakeland launches Sustainability Incentive Payment

0.5c/litre and 0.5p/litre payment for farmers.

Lakeland Dairies has launched a farm sustainability strategy with a key component being a payment to support farmers in carrying out sustainability actions.

The strategy, which is entitled Farming for a Better Future, focusses on rewarding Lakeland Dairies’ 3,200 farm families for taking positive actions on their farms through a new three-year Sustainability Incentive Payment. The incentive payment runs from 2024 to 2026.

The Sustainability Incentive Payment has been designed to assist suppliers to reduce the carbon footprint of their dairy enterprise, while delivering benefits for water quality, biodiversity, soil health and animal welfare.

For carrying out sustainable actions and measures, farmers will receive a 0.5c/litre / 0.5p/litre payment.

Commenting on the Sustainability Incentive Payment, Lakeland Dairies chairperson Niall Matthews said:

“The success of the co-operative movement is rooted in sustainability. Long term prosperity for dairy farm families is at the core of everything we do at Lakeland Dairies. Our farmers have already shown tremendous leadership in adopting new technologies and practises to improve their environmental sustainability. We are now stepping up our ambition.

“Building on current initiatives and programmes, we are committed to exploring new avenues of innovation and we are actively engaging with our stakeholders to shape a sustainable future for Lakeland Dairies and the farm families who we serve.”

Eamon Duignan General Manager of Lakeland Dairies Member Relations said:

“Lakeland Dairies suppliers have already shown they are clearly engaged with the need to take actions to support biodiversity and improve our climate credentials.

“Our new Sustainability Incentive Payment has been designed to build on the strong start and actions being made by farmers while ensuring the measures are verifiable and credible. Many of the actions our milk suppliers are being asked to do as part of this programme are already being carried out on many farms today.

“Adopting sustainable measures at farm level is a critical part of safeguarding dairy farms for future generations. We will work collectively and collaboratively with our farmers on this journey.”

Niall McLoughlin Farm Sustainability Lead with Lakeland Dairies said:

“The actions we take on our farms will ensure that we continue to be world class producers of food while clearly demonstrating our commitment to sustainability. Lakeland Dairies has a clear ambition to achieve a 30% reduction in the carbon footprint of milk production by 2030. This will be done while protecting and improving both water quality and biodiversity, safeguarding the health of our soils whilst maintaining the absolute highest standards of animal welfare.

“The measures Lakeland Dairies suppliers will carry out as part of the Sustainability Incentive Payment reflect the most up-to-date scientific advice and will help ensure farms remain environmentally, socially and economically sustainable.

Applications are made via the farmer portal on For assistance with the application process, suppliers can contact their local Milk Advisor or call a dedicated helpline on +353 (0)42 9694359. Applications must be submitted by Friday 15th December 2023.

The Sustainability Incentive Payment is open to all Lakeland Dairies milk suppliers and the payment will be made for milk supplied from 1st January 2024.