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		<title>True Cost Accounting</title>
		<link>https://sustainablefoodtrust.org/our-work/true-cost-accounting/</link>
		
		<dc:creator><![CDATA[Bonnie Welch]]></dc:creator>
		<pubDate>Sun, 16 Jan 2022 13:41:11 +0000</pubDate>
				<category><![CDATA[True Cost Accounting]]></category>
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					<description><![CDATA[<p>We pay for food in many ways, not just at the checkout; but the true cost varies according to how food is produced and how this impacts our health and the environment.</p>
<p>The post <a href="https://sustainablefoodtrust.org/our-work/true-cost-accounting/">True Cost Accounting</a> appeared first on <a href="https://sustainablefoodtrust.org">Sustainable Food Trust</a>.</p>
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        <p id="breadcrumbs"><span><span><a href="https://sustainablefoodtrust.org/">Home</a></span> &gt; <span><a href="/our-work/">Our work</a></span> &gt; <span class="breadcrumb_last" aria-current="page">Measuring and Valuing</span></span></p>        
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          <h1>True Cost Accounting</h1>
          <p>We pay for food in many ways, not just at the checkout; but the true cost varies according to how food is produced and how this impacts our health and the environment.</p>
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      <p>The Hidden Cost of UK Food was published in 2017 and revised in 2019. It found that for every £1 we spend at the checkout, we spend another £1 in hidden ways.</p>
<p>UK consumers spend £120 billion on food each year yet there are serious environmental and health-related costs that generate a further £116 billion. These costs are not paid for by the food and farming businesses that cause them, nor are they included in the retail price of food. Instead, they are being passed on to the public through taxation, lost income due to ill health, and the price of mitigating and adapting to climate change and environmental degradation.</p>
<p class="selectionShareable">The report advocates a change in policy where the polluter must pay and where agricultural subsidies are used to encourage a shift to more sustainable forms of production which bring benefits to both the environment and human health.</p>
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      <h2>What is True Cost Accounting?</h2>
<p class="p1">True Cost Accounting in food and agriculture is about assessing the true costs and benefits of different food production systems. Many of our food production systems have damaging impacts on the environment, animal welfare and public health, but these are rarely accounted for and do not get paid for by the producer or by the customer at the checkout.<span class="Apple-converted-space"> </span></p>
<p class="p1">However, we are paying for these costs in hidden ways such as through water charges which include the cost of removing pesticides in drinking water; taxes which fund environmental clean-up costs; and the cost of health care for diet-related disease. These costs are often deferred on to future generations or other countries, as is currently the case with climate change and soil degradation, rainforest destruction and species extinction.<span class="Apple-converted-space"> </span></p>
<div class="accordions"><div class="accordions__accordion"><h3 class="accordions__accordion__heading">Continue reading<i></i></h3><div class="accordions__accordion__content"><div class="accordions__accordion__content__text last-child-no-margin"><p class="p1">In contrast, there can also be lots of positive benefits (also known as &#8216;positive externalities&#8217;) from food and farming systems that similarly go unaccounted for. Farmers might contribute to biodiversity restoration or the maintenance of cherished landscapes that the public like to enjoy, yet often they are not rewarded financially for their actions.</p>
<p class="p1">This all creates a distorted pricing system for food, whereby food that appears to be ‘cheap’ is often the most costly for our environment and health. On the other hand, sustainably produced, healthy food can be very expensive and out of reach for many. We are therefore working to redress this distorted economic environment for food and farming.<span class="Apple-converted-space"> </span></p>
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                <h2>Videos</h2>
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                            <a href="https://www.youtube.com/watch?v=KVTLLrP9uOg" target="_blank" data-fancybox class="videos-grid__video video-link video-link--figure">
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                                    <img decoding="async" width="400" height="225" src="https://sustainablefoodtrust.org/wp-content/uploads/2022/01/admin-ajax.php_.jpeg" class="" alt="A tale of two chickens" srcset="https://sustainablefoodtrust.org/wp-content/uploads/2022/01/admin-ajax.php_.jpeg 400w, https://sustainablefoodtrust.org/wp-content/uploads/2022/01/admin-ajax.php_-300x169.jpeg 300w" sizes="(max-width: 400px) 100vw, 400px" />                                </figure>

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                                    <h3 class="videos-grid__video__heading">The Tale of Two Chickens</h3>
                                    <p class="videos-grid__video__text">A Tale of Two Chickens is a short film which illustrates how we are paying a high price for food in hidden ways and why we need true cost accounting in our food and farming systems.</p>
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                                                                    <div class="videos-grid__item">
                            <a href="https://vimeo.com/81543958?embedded=true&#038;source=vimeo_logo&#038;owner=9875492" target="_blank" data-fancybox class="videos-grid__video video-link video-link--figure">
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                                    <img loading="lazy" decoding="async" width="386" height="256" src="https://sustainablefoodtrust.org/wp-content/uploads/2022/01/Screen-Shot-2022-03-09-at-2.33.42-PM-386x256.jpg" class="" alt="" srcset="https://sustainablefoodtrust.org/wp-content/uploads/2022/01/Screen-Shot-2022-03-09-at-2.33.42-PM-386x256.jpg 386w, https://sustainablefoodtrust.org/wp-content/uploads/2022/01/Screen-Shot-2022-03-09-at-2.33.42-PM-384x256.jpg 384w, https://sustainablefoodtrust.org/wp-content/uploads/2022/01/Screen-Shot-2022-03-09-at-2.33.42-PM-796x530.jpg 796w" sizes="auto, (max-width: 386px) 100vw, 386px" />                                </figure>

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                                    <h3 class="videos-grid__video__heading">SFT Kentucky Conference Video</h3>
                                    <p class="videos-grid__video__text">In April 2013, the SFT convened a meeting in Louisville Kentucky, to discuss the development of a new economic model for food and farming.</p>
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                            <a href="https://www.youtube.com/watch?v=Q-lyJQ0zg9c&#038;feature=emb_imp_woyt" target="_blank" data-fancybox class="videos-grid__video video-link video-link--figure">
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                                    <img loading="lazy" decoding="async" width="386" height="256" src="https://sustainablefoodtrust.org/wp-content/uploads/2022/01/Screenshot-2022-04-08-at-13.44.53-386x256-1-386x256.png" class="" alt="Patrick Speaking" srcset="https://sustainablefoodtrust.org/wp-content/uploads/2022/01/Screenshot-2022-04-08-at-13.44.53-386x256-1.png 386w, https://sustainablefoodtrust.org/wp-content/uploads/2022/01/Screenshot-2022-04-08-at-13.44.53-386x256-1-300x199.png 300w, https://sustainablefoodtrust.org/wp-content/uploads/2022/01/Screenshot-2022-04-08-at-13.44.53-386x256-1-384x256.png 384w" sizes="auto, (max-width: 386px) 100vw, 386px" />                                </figure>

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                                    <h3 class="videos-grid__video__heading">Oxford Real Farming Conference 2016</h3>
                                    <p class="videos-grid__video__text">This session on true cost accounting in food and farming featured SFT Chief Executive Patrick Holden, TEEBAgFood study lead Alexander Müller and Shadow Secretary of Defra, Kerry McCarthy.</p>
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      <h2 class="p1">Implementing True Cost Accounting</h2>
<p class="p1">The discipline of True Cost Accounting enables us to understand more about the scale and nature of these ‘externalities’, as economists call them, by identifying, categorising and quantifying, and where possible pricing all the different costs and benefits involved. Given sufficient public support and political will, this information would allow policy and economic interventions to be adopted which favoured the production and consumption of foods with the lowest true costs. This could be achieved by taxing those who pollute and using agricultural subsidies to encourage the right kind of farming methods.</p>
<div class="accordions"><div class="accordions__accordion"><h3 class="accordions__accordion__heading">Nitrogen<i></i></h3><div class="accordions__accordion__content"><div class="accordions__accordion__content__text last-child-no-margin"><p class="p1">The European Nitrogen Assessment has estimated that collectively, the costs of nitrogen fertiliser-related damage range is as high as €320 billion, or up to €750 per person every year throughout the EU, about two-thirds of which relates to agriculture. Although intensive farmers get somewhere in the region of a three-fold return for the money they spend on nitrogen fertiliser, because it is not taxed and its production in some countries is even subsidised, the true cost to society is estimated to be up to three times greater still. Recognising the true cost of nitrogen fertiliser would encourage a shift away from this damaging input and towards regenerative practices that use nitrogen-fixing plants such as clover, beans and other legumes to fix nitrogen naturally in the soil.</p>
</div></div></div><div class="accordions__accordion"><h3 class="accordions__accordion__heading">Public Health<i></i></h3><div class="accordions__accordion__content"><div class="accordions__accordion__content__text last-child-no-margin"><p class="p1">There is now increasing evidence showing the direct links between the intensification of our agriculture and food systems and the rapid rise of a range of diseases which are now resulting in increasingly unaffordable treatment costs. These include diet-related illnesses such as obesity, type-2 diabetes, cardiovascular diseases, allergies, some cancers, and diseases of the immune system, many of which are being directly linked to the way food is currently produced and consumed. Obesity alone has a global economic impact of around $2 trillion annually, or 2.8% of global GDP, and it is estimated that in the United States its cost could be as high $344 billion by 2018, equivalent to 20% of total spending. An investment in sustainable agriculture and a better understanding of the connection between diet and health or linking health insurance premiums to improve diets, could reduce these health treatment costs to the benefit of individuals and society.</p>
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<p>The post <a href="https://sustainablefoodtrust.org/our-work/true-cost-accounting/">True Cost Accounting</a> appeared first on <a href="https://sustainablefoodtrust.org">Sustainable Food Trust</a>.</p>
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		<title>Measuring Sustainability</title>
		<link>https://sustainablefoodtrust.org/our-work/measuring-sustainability/</link>
		
		<dc:creator><![CDATA[Victoria Halliday]]></dc:creator>
		<pubDate>Sun, 16 Jan 2022 13:39:13 +0000</pubDate>
				<category><![CDATA[Lifestyle]]></category>
		<guid isPermaLink="false">http://sustainablefoodtrust.org/report/campaign-for-local-abattoirs-copy/</guid>

					<description><![CDATA[<p>If we are to truly transition to sustainable food and farming systems, we need to measure our impact.</p>
<p>The post <a href="https://sustainablefoodtrust.org/our-work/measuring-sustainability/">Measuring Sustainability</a> appeared first on <a href="https://sustainablefoodtrust.org">Sustainable Food Trust</a>.</p>
]]></description>
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          <h1>Measuring Sustainability</h1>
          <p>Since 2012, the Sustainable Food Trust has worked to expose the true costs of food production and drive the transition to more sustainable farming. The Global Farm Metric was developed as a unifying framework to support this shift &#8211; providing the clarity, alignment and tools needed to inform policy, investment and on-farm action worldwide.</p>
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      <h2>The mission</h2>
<p>Our mission is to drive the transition towards farming systems that deliver positive outcomes for climate, nature and people.</p>
<p>The <a href="https://www.globalfarmmetric.org">Global Farm Metric </a>(GFM) is a framework to align global farming stakeholders around a shared understanding of holistic sustainability at farm-level. It defines shared outcomes and indicators across social, environmental and economic dimensions.</p>
<p>Farmers and stakeholders across the sector can use the framework to build knowledge, guide sustainability measurement and inform action. This enables systems change from the ground up and top down, driving the collective action needed to restore and nourish the health of people and planet.</p>
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      <img loading="lazy" decoding="async" width="2560" height="2560" src="https://sustainablefoodtrust.org/wp-content/uploads/2022/01/GFM2.0-wheel-April-2025-scaled.png" class="" alt="" srcset="https://sustainablefoodtrust.org/wp-content/uploads/2022/01/GFM2.0-wheel-April-2025-scaled.png 2560w, https://sustainablefoodtrust.org/wp-content/uploads/2022/01/GFM2.0-wheel-April-2025-300x300.png 300w, https://sustainablefoodtrust.org/wp-content/uploads/2022/01/GFM2.0-wheel-April-2025-1024x1024.png 1024w, https://sustainablefoodtrust.org/wp-content/uploads/2022/01/GFM2.0-wheel-April-2025-150x150.png 150w, https://sustainablefoodtrust.org/wp-content/uploads/2022/01/GFM2.0-wheel-April-2025-768x768.png 768w, https://sustainablefoodtrust.org/wp-content/uploads/2022/01/GFM2.0-wheel-April-2025-1536x1536.png 1536w, https://sustainablefoodtrust.org/wp-content/uploads/2022/01/GFM2.0-wheel-April-2025-120x120.png 120w" sizes="auto, (max-width: 2560px) 100vw, 2560px" />    </figure>
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      <h2>The challenge</h2>
<p>Farming contributes to a wide range of global challenges. It can also be the solution.</p>
<p>However, there are barriers that prevent farmers becoming drivers of positive change. These include:</p>
<ul>
<li>Knowledge and understanding</li>
<li>Measurement and monitoring</li>
<li>Systemic and structural</li>
</ul>
<p style="font-weight: 400;">Since 2015, the SFT has been spearheading international work on <a href="https://sustainablefoodtrust.org/our-work/true-cost-accounting/">True Cost Accounting</a> (TCA). This work aims to reveal the hidden costs of unsustainable food production and highlight the value of sustainable food and farming systems for climate, nature and people. With harmful practices costing the UK public purse up to £116 billion each year, the SFT has called for a transition to farming systems that reward the delivery of public benefits and penalise pollution. However, in the absence of a consistent means of measuring and rewarding these benefits, meaningful change has remained out of reach.</p>
<div class="accordions"><div class="accordions__accordion"><h3 class="accordions__accordion__heading">Barriers to change<i></i></h3><div class="accordions__accordion__content"><div class="accordions__accordion__content__text last-child-no-margin"><p><b>Knowledge and understanding</b></p>
<p>Many farmers and farming stakeholders want to be more sustainable, but a lack of clear, shared knowledge often gets in the way. Conflicting advice, complexity and siloed definitions cause confusion and overlook the interconnectedness of the farming system. This can mean positive impacts in one area (like carbon emissions and sequestration) mask negative consequences elsewhere (like biodiversity and soil health). Without a common, holistic understanding of farm-level sustainability, aligned decision-making remains out of reach.</p>
<p><b>Measurement and monitoring</b><br />
It&#8217;s difficult to track progress without a baseline for comparison. Yet many farmers and supply chain actors struggle with data collection tools that are narrow in scope, burdensome or not tailored to farm context. Without consistent, meaningful data, it’s hard to track progress, prove impact or access funding. This gap limits the ability of all stakeholders to plan, support and scale what works.</p>
<p><b>Systemic and structural</b><br />
From the weather and soil type, to politics and resource availability, farmers are influenced by forces beyond the farm gate. Markets, policies and financial pressures often reward short-term gains over long-term sustainability. Until these systems evolve, farmers—and those who buy from, advise or regulate them—will continue to face barriers that slow progress and constrain innovation.</p>
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      <img loading="lazy" decoding="async" width="1200" height="700" src="https://sustainablefoodtrust.org/wp-content/uploads/2023/06/Local-food.jpg" class="" alt="" srcset="https://sustainablefoodtrust.org/wp-content/uploads/2023/06/Local-food.jpg 1200w, https://sustainablefoodtrust.org/wp-content/uploads/2023/06/Local-food-300x175.jpg 300w, https://sustainablefoodtrust.org/wp-content/uploads/2023/06/Local-food-1024x597.jpg 1024w, https://sustainablefoodtrust.org/wp-content/uploads/2023/06/Local-food-768x448.jpg 768w" sizes="auto, (max-width: 1200px) 100vw, 1200px" />    </figure>
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      <h2>The solution</h2>
<p>The GFM tackles key barriers to sustainable farming by creating a shared language, facilitating practical ways to measure outcomes and establishing a framework that aligns the farming system.</p>
<p>It has the power to connect farmers, supply chains and policymakers through shared sustainability goals and consistent, whole-farm data. By focusing on outcomes that matter to everyone, the GFM supports more joined-up action and drives long-term, system-wide change.</p>
<div class="accordions"><div class="accordions__accordion"><h3 class="accordions__accordion__heading">Read more<i></i></h3><div class="accordions__accordion__content"><div class="accordions__accordion__content__text last-child-no-margin"><p><b>Knowledge and understanding</b><br />
The GFM provides a shared language for sustainability &#8211; clear, consistent and grounded in farming realities. It frames sustainability as a whole-farm, whole-system concept, helping farmers and stakeholders understand how environmental, social and economic outcomes interconnect. By making the system visible, the GFM supports learning and alignment across the food system.</p>
<p><b>Measurement and monitoring</b><br />
Developed with and for farmers, the GFM is designed to be embedded within existing data collection tools to enable a practical, outcomes-based approach to assessment. The framework is adaptable, facilitating consistent measurement that’s suited to local contexts. By focusing on shared outcomes rather than prescriptive actions, it creates data that is useful for farmers, comparable across farms and actionable for supply chains, investors and policymakers.</p>
<p><b>Systemic and structural</b><br />
The GFM helps align stakeholders by anchoring decisions in shared outcomes that matter to all &#8211; from farmers and advisors to government and finance. It bridges farm practice with policy and market expectations, enabling better reporting, guiding investment and supporting systems that reward long-term sustainability. In doing so, it lays the groundwork for collaborative, structural change.</p>
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      <h2>Driving change</h2>
<p style="font-weight: 400;">From farmers and financiers to businesses and policymakers, every stakeholder benefits by aligning around a more holistic, outcomesbased approach to sustainability. Responsibility is distributed fairly across the system, preventing the burden of change from falling on any one group alone.</p>
<p style="font-weight: 400;">From the ground up, a strong and holistic evidence base fuels decision making on farms and across the industry. Actions are well-informed and impacts are monitored to mitigate unintended consequences.</p>
<p style="font-weight: 400;">At the same time, top-down transformation creates the conditions and financial incentives that empower farmers to achieve positive outcomes.</p>
<p style="font-weight: 400;">Practices that contribute to global crises are disincentivised, while delivery of public goods is rewarded. This creates effective and lasting change that can reshape entire landscapes and the global farming system, bringing us closer to a truly sustainable future.</p>
<div class="accordions"><div class="accordions__accordion"><h3 class="accordions__accordion__heading">Read more<i></i></h3><div class="accordions__accordion__content"><div class="accordions__accordion__content__text last-child-no-margin"><p style="font-weight: 400;"><strong>Farmers</strong> gain the knowledge, data and support needed to navigate sustainability challenges, manage risk and transition to resilient, productive and sustainable farm systems.</p>
<p><strong>Farm advisors</strong> provide holistic guidance and enable peer-to-peer learning across diverse systems, supported by robust assessments and baselines for informed decisionmaking and long-term monitoring.</p>
<p><strong>Researchers and educators</strong> collaborate across disciplines and contexts using a common language, enhancing knowledge exchange and activities such as mapping, data aggregation and modelling.</p>
<p><strong>Data experts</strong> create aligned, outcomes-based data-sets that evidence farm-level sustainability at scale. Data transferability is optimised, building value to users and encouraging long-term engagement.</p>
<p><strong>Assurance and reporting bodies</strong> including certifiers, auditors and labelling schemes, collect outcomes-based data to support transparency and validate sustainability claims, strengthening trust and compliance with evolving regulatory and market demands.</p>
<p><strong>Value chains</strong> including processors, wholesalers and retailers, use primary data for traceability and transparency, with holistic sourcing policies that support farmers and create resilient supply chains.</p>
<p><strong>Consumers</strong> understand the sustainability of products based on consistent and transparent data, enabling informed choices that drive demand for sustainable produce.</p>
<p><strong>Governments and policymakers</strong> support farmers with incentives and evidence-based policies that drive shared outcomes. Aligned assessment monitor the efficacy of interventions and track progress towards local, national and international goals.</p>
<p><strong>Financial institutions</strong> integrate outcomes-based sustainability into risk, investment and finance strategies, delivering effective support for sustainable farming based on holistic evidence.</p>
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<p class="p1">Learn how the Global Farm Metric can help transform farming into a solution for climate change.</p>
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                                    <h3 class="videos-grid__video__heading">His Royal Highness the Prince of Wales</h3>
                                    <p class="videos-grid__video__text">Patron of the Sustainable Food Trust and Sustainable Markets Initiative</p>
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                                    <h3 class="videos-grid__video__heading">Patrick Holden and Adele Jones, SFT</h3>
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                                    <h3 class="videos-grid__video__heading">Minette Batters</h3>
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                                    <h3 class="videos-grid__video__heading">Henry Dimbleby</h3>
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                                    <h3 class="videos-grid__video__heading">David Potts, CBE</h3>
                                    <p class="videos-grid__video__text">CEO of Morrisons Supermarket</p>
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</section>
<p>The post <a href="https://sustainablefoodtrust.org/our-work/measuring-sustainability/">Measuring Sustainability</a> appeared first on <a href="https://sustainablefoodtrust.org">Sustainable Food Trust</a>.</p>
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