UK wholesale prices

Updated 26 January 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.

Weeks 52-4 (22 December 2025 - 25th January 2026)

January has brought a more mixed picture on commodity markets than seen in recent months. Whilst cheese and skim markets enjoyed a modicum of recovery, fats continued in the doldrums even discounting the dire week between Christmas and January. High milk supplies both here and on the continent are proving particularly influential on the fats market.

Bulk cream prices continued to be under severe pressure and have lost, on average a further £127/tonne, or 10%, to take it to £1,185/tonne. That the average is as high as this belies some extreme prices seen over the festive period which saw distress loads of cream available as low as 70-85p/litre. The price recovered from there entering the 1.20s but have come under pressure again in the past week due to continued milk volume pressure. There is a significant premium to European prices which are reported as sitting under £1/l due to an excess of milk coming from the highest producing regions.

Butter prices are currently disconnected from cream prices in that it is not losing quite as much value. Again, butter was pulled down over the festive period to as little as £3,200/t but did not collapse (unlike cream) and has since seen some recovery. However, on average butter has lost a further £110/t or 3% since last month. The position of cream drags the butter price down which is also afflicted by reportedly high stock levels. Despite lack of activity the price has settled into a comparatively narrow range at these lower levels. The average price for the month was £3,600/t with the market reported to be ‘deathly quiet’. Butter has now lost over half of its value since the peak.

Mild cheddar is seeing little trade in the market but there is some sense that the market has stabilised and even tightened slightly. Mature is said to be tighter due to previous dispersals of curd and mild to ease cashflows which has supported the price for mature. Mild cheddar has regained £30 of value and sits at £2,860/tonne with traders operating in a narrow range. Strong supplies globally are likely to keep the market in check.

SMP has performed the best of all commodities, starting nearer to bottom they are now seeing some demand returning due to comparatively more competitive global prices. There has been some global return of demand due to a belief by buyers the market has bottomed out, and it is time to cover positions. The proximity of Middle East trade event Gulfoods and the ONIL tender is also awaking some interest. SMP has therefore moved up £80/ or 5% to £1,810/t.

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. 

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