Sheep farm incomes increased modestly in 2025 as a result of increased sheep and lamb prices, which were up 6% in 2025 following record levels in 2024, Teagasc national farm survey data shows.
The higher prices are a result of a reduction in sheep supply across the EU, the report details.
The average family farm income on an Irish sheep farm in 2025 was €29,344, the highest on record and a 7% increase on 2024.
It must be noted that sheep farms with a secondary cattle enterprise were also included in the survey and these farms benefitted from the rise in cattle prices in 2025.
Support payments
Support payments for sheep farms remained stable on average year on year at €27,779.
“Such payments remain very important on sheep farms, with continued participation in the Sheep Improvement Scheme, ACRES and the Organic Farming Scheme helping to boost sheep farm income,” Teagasc said.
A slight reduction in production costs was seen in 2025, with a drop of 2% in total costs, while direct costs reduced 9% and overhead costs increased 5%.
The average flock size decreased by 5% to 128 ewes in 2025, according to the survey.
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