UK wholesale prices

Updated 25 September 2026

Indicative average prices for butter, skimmed milk powder (SMP) and mild Cheddar cheese on UK wholesale markets. Bulk cream prices are weighted average prices on agreed trades within the reporting period. Product specifications are available to download at the bottom of the page.

Reporting period: Weeks 36-39 (31 August-27 September 2026).

Key points:

• The cream price rose £101/t due to heat-related lower milk volumes
• Butter strengthened £90/t to £3,540/t as supplies tightened marginally
• Mild cheddar prices moved upwards by £270/t to £3,330 as supplies tighten but still not enough to underpin planned milk price moves
• SMP performed strongly, gaining £260/t over the month for an average of £2,730

Milk volumes have remained weak across the UK with August GB milk volumes back by 4.4% on the previous year. The picture is reportedly regional with areas less impacted by summer drought reporting better milk. However, although grass growth is now back in line with seasonal norms, winter forage could still prove tight and bluetongue concerns are also creating some nervousness.

This has resulted in the UK (and Ireland) operating differently to mainland Europe where milk is still flowing and markets feel more pressured. Tightness of supplies in the UK are providing a degree of support to commodity prices, although perhaps not enough yet to justify where milk prices have needed to go to in order to bolster milk supplies.

Bulk cream has continued to pick-up in the reporting period, gaining around 10ppl despite weakening on the continent.

However, there are indications that it has plateaued over the past two weeks as the grass growth picked up and milk supply worries eased in some quarters.

The average price for the period was £1,708t.

The price of cream meant it continued to be uneconomical to churn butter beyond contracted volumes, tightening markets – a pattern we have seen for some time now.

However, stocks are still high which is overhanging the market although we have now started to see some degree of upward movements as some seasonal demand begins to return.

That said the market is reported to remain quiet for September.

Prices rose £90/t to £3,540/t.

SMP continued to push up in line with growing consumer demand for protein globally and supplies are reported to be fairly tight with production fairly low, and exports having been strong in H1. The Irish milk season is also now approaching its lowest months pulling back supplies from there, particularly as  supplies in Ireland have also been challenging.

Some dryers are still seasonally quiet, but we are also still seeing fresh milk diverted to the spot market with spot prices in the 40s.

Demand has been good, with perhaps some anticipation of rising costs in future due to energy price hikes causing some to secure stocks early.

The average price for the period was £2,730 a gain of £260/t.

Cheddar has been quite strong in the UK market, an outlier in the global picture where the GDT has seen a large drop. Today’s prices sit around £3,400 but the average for the month has been a little lower and some reports of plateauing/easing now.

Tightness in milk supplies in some of the key cheddar producing regions, both in the UK and in Ireland and Poland has driven a bit of positive sentiment.

Despite some price rises for mild cheddar, they remain too low to cover milk price rises that have been observed by many cheese makers for October implying a period of margin pressure ahead unless markets move further upwards.

Demand has been variable – good for some, steady for others although notably busier than the summer.

Despite huge growth in global cheese supplies in 2026 prices have remained steady. Demand in places such as the Middle East remains very strong despite logistical challenges. A threat ahead would be the US who could pressure the global market with cheap supplies which could keep a cap on prices.

The average price for the period was £3,330/t, gaining £270/t.

Source: AHDB

Figure 1. UK dairy product wholesale prices

Source: AHDB

Figure 1 shows average UK wholesale prices from mid 2023 to September 2026, measured in £ per tonne.

The published prices will not necessarily match the overall actual price achieved by a milk processor as this will depend, among other things, on the proportion of product that is sold on the spot market and the proportion sold under longer term contracts and at what price this is done.

The 'average' prices should be used to track trends while the commentary will contain prices seen through the month.

Note: There has been a change in the methodology for determining the bulk cream price from January 2021.

Information on prices and market conditions is gathered through a monthly phone survey of dairy product sellers, traders and buyers.

Panel discussions cover ex-store prices on spot trades agreed within the reporting period and delivered within a maximum of 2 weeks for bulk cream and 6 weeks for butter, SMP or cheese. 

For butter, skimmed milk powder (SMP) and mild Cheddar, prices are indicative of values achieved for spot trades and exclude contracted prices or forward sales.

For bulk cream, a weighted average price will now be reported. This is based on submissions of an average price for agreed spot trades made within the reporting period along with total volumes traded.

Data is entered by panel members via the AHDB online wholesale price portal.

Prices for bulk cream were not weighted by traded volumes prior to January 2021. 

While AHDB seeks to ensure that the information contained on this webpage is accurate at the time of publication, no warranty is given in respect of the information and data provided. You are responsible for how you use the information. To the maximum extent permitted by law, AHDB accepts no liability for loss, damage or injury howsoever caused or suffered (including that caused by negligence) directly or indirectly in relation to the information or data provided in this publication.

All intellectual property rights in the information and data on this webpage belong to or are licensed by AHDB. You are authorised to use such information for your internal business purposes only and you must not provide this information to any other third parties, including further publication of the information, or for commercial gain in any way whatsoever without the prior written permission of AHDB for each third party disclosure, publication or commercial arrangement. For more information, please see our Terms of Use and Privacy Notice or contact the Director of Corporate Affairs at info@ahdb.org.uk  © Agriculture and Horticulture Development Board. All rights reserved.