News ‘Biggest change in farm


payments for 50 years’ • Agriculture Act fi nally becomes law • Farm support focuses on environment • Phase out of direct payments begins


B


ig changes to farm sup- port have been given the go-ahead after legislation


that the government says will “un- leash the potential of agriculture” passed into UK law. Direct payments to farmers will be phased out over seven years and replaced with a new system of “public money for pub- lic goods” which will reward farm- ers who undertake additional en- vironmental measures on their land.


The government’s Agriculture Act became law on 11 November. It paves the way for the abolition of the Basic Payment Scheme and the introduction of the En- vironmental Land Management Scheme (see box).


“


The Agriculture Act will transform the way we support farmers


Transformation The Act also includes measures designed to support farmers and land managers to boost their pro- ductivity, and ultimately maxim- ise the potential of their land to produce high quality food in a more sustainable way.


Defra secretary George Eustice


said: “Our landmark Agriculture Act will transform the way we sup- port farmers.”


Funds released from phasing out basic payments would be re- invested into a new policy centred around incentivising sustainable farming practices, supporting na- ture recovery and ecosystem ser- vices to help tackle challenges like climate change.


4 MIDLAND FARMER • DECEMBER 2020 Farmers will be rewarded for measures which improve soil health


“We will support farmers in re- ducing their costs and improving their profi tability, to help those who want to retire or leave the in- dustry to do so with dignity, and to create new opportunities and


support for new entrants coming in to the industry.”


‘Landmark moment’ NFU president Minette Bat- ters described the legislation as a landmark moment for UK food and farming. She added: “Simply put, the Agriculture Act will set how we farm in this country for generations to come.” As well as environmental pay- ments, the Act gives the govern-


ment powers to grant fi nancial assistance to support the selling, marketing, packaging or process- ing of products derived from an agricultural or horticultural ac- tivity.


Getting to this point had not been easy, said Ms Batters. The NFU had made the case that the legislation needed to recognise the role of farmers as food producers and the government had fi nally agreed that it should do so. NFU lobbying meant there


was a greater focus on food produc- tion than there otherwise would – and funding for existing produc- er organisations activities would continue beyond 2020 and ahead of the new environmental scheme. Country Land and Business Association president Mark Bridgeman said it was vital for the government to work with farmers and help it support ru- ral communities through job cre- ation and economic development. “This is only the beginning, not the end of the process for the farm- ing industry,” said Mr Bridgeman. The Agriculture Act was a remind- er of the profound responsibilities growers and livestock producers had to feed the nation.


Mr Bridgeman said the gov- ernment must commit itself to working hand in glove with the industry to ensure future poli- cies actually work effectively on the ground, while recognising the potential of the rural economy to help combat climate change.” For more on the environmen- tal land management scheme, see page 29.


Farmers face ‘funding gap’ ahead of ELM scheme


The government’s long-await- ed Environmental Land Man- agement (ELM) scheme will be phased in as direct payments are phased out – but won’t be fully up and running by 2024.


This means farmers face a


funding gap because cuts to the Basic Payment Scheme (BPS) will begin from January 2021 but ELM payments will not be fully available to farms for an-


other four years. The government says it will introduce a stepping-stone Sus- tainable Farming Incentive (SFI) scheme to bridge this gap. But it is thought unlikely that farmers will be able to recoup all the income lost from BPS by joining the SFI.


Defra secretary George Eus- tice unveiled details of the new scheme on Monday (30 Novem- ber). Focusing payments almost


solely on environment measures represents the biggest change to farm policy in England for more than 50 years.


Countryside Stewardship


schemes will remain open to new applications in the fi rst few years of the agricultural transition period, said Mr Eu- stice. This would help farmers to springboard into the upcom- ing Environmental Land Man- agement scheme.


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40