A new framework document was published in May 2025 and sets out the strategic relationship between Defra, the Devolved Governments, and British Wool. The Framework establishes clear governance arrangements and shared priorities, ensuring British Wool is well-positioned to meet the evolving needs of the sector. The framework document was informed by a review of British Wool’s operations, including its structure and market position, conducted jointly by Defra and Devolved Governments, this was published on 15 March 2023.

While the Department is not currently undertaking a separate assessment of British Wool’s effectiveness in supporting farmer incomes, the Framework Document provides a foundation for ongoing collaboration and performance monitoring. Defra remains committed to working with British Wool and industry stakeholders to ensure the organisation continues to deliver value to sheep farmers and contributes to the long-term sustainability of the wool sector.

British Wool is a public body, responsible for the collection, sale and marketing of wool from across the UK. While Defra maintains regular engagement with British Wool and monitors its strategic performance through a framework agreement, the organisation remains operationally independent. As such, Defra makes no assessment on the process by which payments are returned to producers.

Sales are conducted by auction throughout the year and reflect global market developments in price and availability. Payments to British Wool’s producer members are calculated at year end once the full value of that member’s clip is known. Returns are based on the weight and quality of wool delivered and the average value each grade achieved at auction. Payments are available from 1 May at the start of the following clip year and are released automatically when new season wool is delivered or on request from members.