Over the last three months, 116 milk producers in England and Wales have exited the industry.

The numbers potentially indicate the start of a period of a higher departure rate from the industry, according to the Agriculture and Horticulture Development Board (AHDB).

"In January 2019, 33 producers hung up their milking aprons, leaving the industry with 1.9% fewer producers across England and Wales compared to January 2018," a report from AHDB reads.

Exit rate

Exit rates from the dairy industry in England and Wales stood at around 1.5% over the past two years.

The rate of exit continued to decline in 2018 but has picked up again since October last year.

"The current exit rates have not been seen since mid-2016, during the prolonged period of low prices.

"It is possible that the recent elevated rates come as a result of the turbulent weather conditions experienced during 2018, and the resulting impact on margins," the AHDB said.

"In addition, the proximity of Brexit, and the uncertainty it is creating, may also be influencing producer decisions."

There are 6,995 milk producers in England and 2,156 in Wales according to figures from the Food Standards Agency.