info@akcagric.co.uk | 01380 724 687
Insight to agricultural policy - what we currently know
Insight to agricultural policy - what we currently know
Post date
October 2020
Direct payment (BPS) transition
Payment deductions start 2021
Known deduction rate for 2021
No detail on how the payment deductions will be set between 2022 and 2027 (assume flat rate)
No payments from 2028 (final payment 2027)
Delinking of payments
Potentially delinked in 2022
No requirement for annual claim?
Cross compliance to be phased out or simplified?
Lump sum exit scheme
Exit scheme will be subject to exiting farming. Potentially only available for 2022 or 2023. Consultation later this year
Current agri-environment schemes
Countryside stewardship to continue until 2024
Further simplification anticipated. Opportunity to exit into ELMS without penalty
Continued roll over of HLS – but beware subject to EU regulations and penalties for non compliance could go back for whole of scheme agreement 10-14 years
Payment for public good - Environmental Land Management scheme
To be introduced in 2024
Pilot and development phase 2021 - 2024
Tier 1: Sustainable farming and forestry
Tier 2: locally targeted environmental outcomes
Tier 3: landscape scale land use change
Payment gap between 2021 and 2024 when BPS reductions but ELMS not introduced until 2024 (businesses lost 30-40% of direct payment by this point)
Pressure on government to bring forward Tier 1 proposal ‘sustainable farming incentive’ to 2022 to help plug income shortfall
Productivity & Resilience
During 7 year transition phase there will be grant schemes to assist with change:
From 2021: New productivity grant scheme
Small and large grant schemes, similar to current schemes
From 2022: Innovation/research programme
- Farmer led trials ‘accelerator fund’ £10k-100k (1-2 years)
- Themed collaboration £100k-1M (up to 4 years). Priority areas
- Industry led research £1M upwards
From 2024: Farm Business resilience fund
Pilot in 2020 providing advice and training
New entrant support
County farms and landowners
Animal & Plant Health
Animal welfare grants from 2021
Grants to enhance welfare above regulatory baseline
Animal health strategy starting 2022 to control or eradicate endemic diseases
Tree health and animal heal programme from 2024
To form part of ELMS. Grants for felling and restocking diseased trees
