Following the departure of the UK from the EU, the Government released its paper titled A Path to Sustainable Agriculture: An Agricultural Transition Plan 2021-2024. This paper outlines the initial stages of a transition period which is set to run until 2028 and will see a phasing out of the Basic Payment Scheme and the introduction of the new ELMS scheme together with a range of grants to aid productivity.
The BPS is to be phased out from 2021 with the final payments to be made in 2027. The origins of the scheme come from the EU's Common Agricultural Policy however following the UK's departure from the EU, the UK is free to set its own rules.
2021 sees a simplification of the scheme to remove the complex Greening rules as well as the first of 7 annual percentage reductions in payments.
A Lump Sum Exit Scheme is available for farmers retiring from Agriculture. This scheme launched in 2022 and has attracted a lot of interest from both landowners and tenants alike.
Delinking of the payments away from the occupation of land is proposed from 2024, payments thereafter will be based on a the average payments received over a reference period being 2020-2022.
For professional advice on the Basic Payment Scheme, the planned changes and assistance with annual claim forms and Entitlement transfers please contact our office.
To help farm businesses adapt to the changes in support schemes the Government is launching a range of farm grants aimed at improving efficient agricultural production.
The Farming Equipment Technology Fund first launched in Autumn 2021 as a small scale grant scheme paying towards a defined list of items. Funding up to 50% of the cost of eligible items which can be shown to improve efficiency and profitability or improve animal health on farms. The most recent round is split into 2 parts: Productivity and Slurry Grants with a deadline of 4th April and Animal Health & Welfare Grants with a deadline of 15th June 2023. Further rounds are anticipated in early 2024.
The Farming Transformation Fund is to be a large scale grant towards significant business investment in new technology, infrastructure and equipment. This grant fund aims to transform business performance and will include technology for sorting, storing or processing products and automated technologies. Split into 3 parts, Water Management, Improving Farm Productivity and Added Value. Second rounds of the various parts of the scheme are currently opening, please contact our office for full details on each scheme and how Hardcastle Rural can assist you.
Slurry Investment Fund launched from 6th December 2022 under the FETF (see above) with the aim of reducing pollution from farming. This scheme will provide support in set geographical locations towards slurry storage (which exceeds current requirements), store covers, low emission spreading equipment and pumps, pipework and reception pits. Increased storage requirements are anticipated by 2027 and farmers are advised to consider the new grant scheme to help adapt to the forthcoming regulations. Further rounds of the scheme are anticipated in late 2023 and 2024.
Part of the governments Agricultural Transition Plan, this scheme opened in July 2021 with the aim to run until April 2025. It provides funding for farmers and land managers within National Parks and Areas of Outstanding Natural Beauty (AONB's) to enable benefits for nature, climate, people and places.
Funding levels depend upon the commercial return from the project with funding varying from 40% to 100% where the project provides nature benefits without giving any return to the landowner.
The scheme aims to fund:
Climate - projects delivering net zero with nature based solutions, storing carbon and flood risk management
Nature - Increasing the area of wildlife habitats, connecting habitats with hedgerows, managing existing wildlife areas and increasing biodiversity
People - providing opportunities for people to explore the landscape and greater public engagement
Place - Enhancing and restoring the character of the landscape, conserving historic features and nature friendly farming
To discuss how this scheme may work on your holding, contact our team.
The range of funding options is regularly changing. At Hardcastle Rural we strive to keep abreast of the funding options open to different sectors of the rural economy.
If you have a project in mind, contact our office to see if there may be current or future grant and support schemes to help you achieve your goals.
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