Although there is limited detail, it does firm up a number of ideas, and shows some Government commitment to proposed changes. This is clearly the early stages but does provide an indication as to how funding will be focused and the longer-term commitments of the Government.
The main focus is the on the potential changes to support payments and possible timescales to phase out BPS from 2021 to 2027 and the introduction of the new Environmental Land Management (ELM) Scheme.
DEFRA states that its main aims over a 7-year transition period are;
- To phase out direct payments and to move away from a subsidy-based approach to a more business-like partnership.
- Collaborative working in partnerships with farmers and land managers.
- To becomes less bureaucratic.
- Promote the important role of the agricultural community and positive contribution that the sector makes to our environment.
Direct Payments – to be phased out from 2021 to 2027. Payments will be reduced fairly in the first year with bigger reductions applied to the higher payment bands.
Delinking – delink direct payments from the requirements to farm and land owners, and are to be made regardless if the claimant continues to farm or not. There will be a consultation on whether a one-off lump sum will be made rather than annual payments.
Rural Development Programme – the Government have committed to fund all projects commencing before the end of 2020.
Environmental Land Management (ELM) Schemes – Countryside Stewardship to transition to ELMs, however there will be a period when both schemes run together. There should be no Countryside Stewardship Agreement unfairly disadvantaged. ELMs will reward farmers for environmental benefits and are due to be introduced in 2024. Countryside Stewardship will not be available once ELM is fully up and running.
Tree and Plant Health – a review of the existing packages of tree health grants as well as support for local action groups.
Animal Health & Welfare – one-off payments to support farmers to provide welfare enhancements and a new approach to prevent endemic disease and improve health of livestock.
Research and Development – support farmers to work with researches to help improve productivity.
Although this is still early days, it does provide some direction for the agricultural sector. If you would like to discuss further or for any advice please contact our Land Agency team.