FARM businesses planning to increase income through diversification are being urged to make sure that their expectations are realistic and their planning foolproof before taking the plunge.

Although almost half of all farm businesses in the UK are supplementing income through non-farming enterprises, Greg Fowler, Lloyds TSB regional agricultural manager for Worcestershire, warned that diversification was not for everyone.

Launching the bank's Guide to Farm Business Diversification, Mr Fowler said: "Sensible diversification can make all the difference to farm businesses, releasing unused resources of land, buildings and entrepreneurial skills and helping develop a long-term source of alternative income.

"But a project will often take a business operator into uncharted territory so levels of planning, budgetary forecasting and control need to be of the highest order."

The new guide lists 75 different examples of new business opportunities ranging from new crops and livestock enterprises to farm retailing, leisure and tourism and property development and management.

Free copies are available from Lloyds TSB Agriculture on 01264 386248.