This will take its milk price on a manufacturing standard litre to 43.45ppl from July 1, and 46.50ppl from August 1, including the member premium.

Robert Craig, Cumbrian dairy farmer, farmer director and vice chairman, said:“We recognise that the rate of increase in our milk price may be slower than some others, given the scale of market change. This is purely a timing issue, and our business model enables us to recover inflationary costs and market movements from our customers over time.

“We remain completely focused on continuing to pass on these returns through the milk price to our members as soon as they are affordable.”

Meadow Foods has announced that it will be increasing its milk price by 3.75ppl from July 1, taking its standard litre milk price rise to 46ppl, an equivalent manufacturing litre will be 46.625 ppl.

This maintains its industry leading position and means the business has increased its milk price by 16ppl this year alone.

Jim Bebb, supply chain director at Meadow Foods, commented: “This latest price rise allows us to maintain our position at the front of the pack and to continue to support our producers with the ongoing inflationary cost pressures they face on farm as well as the increasing cost-of-living challenges.

“This is our seventh consecutive monthly rise which has been made possible by the positive market returns we receive for our quality dairy ingredients. We will continue to watch the market and milk volumes closely, however remain committed to supporting our producers and passing back further increases as soon as we are able.“

Suppliers in Tesco’s Sustainable Dairy Group (TSDG) through Muller will receive 42.35p/litre from July for a standard litre of four percent butterfat and 3.3 percent protein, an increase of 0.76p/litre on June levels.This adjustment is to reflect the latest quarterly increases in fuel, feed, and fertiliser costs at 3.16p/litre by Promar as part of its cost tracker.