The cost of a real Christmas tree could soar this year because of a decline in imported trees as a result of European legislation.
The European Commission decided that land being used for growing Christmas trees would not be eligible under the new Single Payment Scheme (SPS). As a result many growers throughout the EU have grubbed up Christmas trees and are growing alternative crops which will earn the SPS grant.
The British Christmas Tree Growers Association (BCTGA) said several countries in Western Europe had confirmed that the supply of trees for a number of years would be substantially reduced.
The major producer, Denmark, reported an anticipated reduction in production for 2005 of more than 30 per cent and there were indications of a price rise from wholesale suppliers of up to 20 per cent, according to the association.
Roger Hay, secretary of the BCTGA, said the market was in some turmoil and the probable reduction in imports from Europe would place a strain on supplies.
He said: "UK growers have never received subsidies for growing Christmas trees, unlike other European countries and have not reduced production significantly in the UK. In 2004 there were over
1.5 million trees imported into the UK and this number is expected to fall this year to a few hundred thousand.
"This will result in pressure to increase prices and buyers should expect wholesale prices to rise."
About six million trees are sold in Britain each year and the Forestry Commission is one of the largest suppliers. The Commission provides about 100,000 trees and manages Britain's two biggest Christmas tree outlets. These are Cannock Chase in Staffordshire and Delamere Forest in Cheshire.