A regional cooperative operates a community-owned vertical farm that produces organic vegetables. The farm currently operates at an annual output of 42,500 kilograms of produce. At this scale of production, the average cost of growing a kilogram of vegetables is £14.80, while the cooperative sells the produce to local school kitchens at a discounted price of £9.20 per kilogram.

Calculate the total annual government subsidy necessary for this cooperative to cover all of its production costs.