John Sheard looks at some of the implications of the Countryside Agency's latest survey of countryside living

FARM incomes fell to their lowest level in 25 years during 2000, averaging a measly £7,800 a head, according to the third annual State of the Countryside analysis carried out by the Government's Countryside Commission.

The survey, the third carried out by the agency since its creation, is a mixed bag of good news and bad news on rural trends, with the bleakest picture painted by livestock farmers. Even before the outbreak of foot and mouth, farming attitudes were pessimistic and 12% of livestock farmers say they plan to leave the industry because they see no future - double the figure of the previous year.

Says commission chairman Ewen Cameron: "For many people in rural England the picture is relatively happy. In general, they enjoy slightly better levels of income, health and education and suffer less from crime.

"But this is not the whole picture. The remoter parts of rural England consistently suffer real and enduring deprivation. Their economies are already fragile and foot and mouth has devastated farming and tourism."

"The only way back for these communities will be heavy and ongoing investment through area based regeneration initiatives which will seek to broaden their economic base."

However, all the findings are not bad news. For instance, the rapid decline in farmland bird life between 1986 and 1999 has slowed and hedgerow decline seems to have halted - two trends which are probably linked. Organic farming, seen by many as a way out of the continuing food quality crises caused by intensive agriculture, is increasing - 250,000 more hectares went organic in 1999.

And whatever the problems, the countryside population continues to increase as more and more people move out of the towns and cities - a trend which is not always welcome to country folk but one which brings more income to support small rural businesses like shops, pubs, builders and other rural trades.

Other key findings include:

• Both countryfolk and townies are worried about environmental changes in rural areas but a majority think the farmers are doing a good job.

• One third of all businesses - almost 600,000 in all - are in the countryside, a much bigger total per head than in towns.

• Unemployment is lower in the countryside but average earnings are also lower and many of the jobs tend to be part-time.

• For more information, log onto www.countryside.gov.uk