FARMING incomes leapt up by more than 30 per cent in 2003 according to new Government data.

Figures from the Department for Environment, Food and Rural Affairs revealed that incomes from farming activities had reached their highest level for seven years, bringing in more than £15,000 per person on average.

On top of that, a separate Farm Business Survey of 2,200 farms in England estimated that diversification schemes had added an extra £1,800 to average profits across all full-time farms in 2001/2 up 30 per cent on the previous year. Across the country, diversification act-ivities were earning more than £100 million in total.

In the North West the survey indicated that 723 farmers had diversified into processing and/or selling farm produce with dozens also going into providing tourism accommodation or rural crafts.

Nationally more than half 56 per cent of full-time farmers had diversified with some managing to reap rich rewards. Around 1,800 farms were said to earn more than £50,000 a year with 3,600 bringing in £20,000 to £50,000.

Total Income From Farming figures show income generated by agricultural production, including subsidies, rose by a healthy 28 per cent in 2003 to £3.2billion as all sectors improved on their 2002 performance.

With farmers continuing to leave the industry, average incomes of those who stuck at it went up by 32 per cent to £15,537 from £11,700 in 2002.

It is the fourth year of increasing incomes, which are now far higher than in 2000 when the typical farmer was earning just £8,200.

But the production paycheck is still well short of the 1995 peak when average incomes topped £26,400.

According to DEFRA, the biggest factor in improving farming's financial rewards was the recovery of the euro which prompted price increases and higher subsidy payments.

Separate figures estimating net farm income to February 2004 showed that cattle and sheep farms in less-favoured areas saw a steady 21 per cent rise to a predicted £14,500 income thanks to higher prices and headage payments. Even the dairy industry was faring better with incomes expected to rise to £17,500 thanks to modest price rises.

National Farmers' Union county secretary Alistair Mackintosh welcomed higher incomes but stressed that the figures were only an average. Many farmers were continuing to struggle to make ends meet while an average income of £15,000 was still low given the labour involved in maintaining a farm.