Farm support payments to be used to help the environment after Brexit
Up to £150 million in support payments could be redirected from the richest farmers to projects to improve the environment after Brexit.
As the UK leaves the EU, Environment Secretary Michael Gove wants to end the Common Agricultural Policy system of "direct payments" based on the amount of land farmed and move to a new arrangement rewarding farmers for "public goods" such as environmental enhancements and investment in sustainable food production.
The Department of Environment, Food and Rural Affairs (Defra) announced plans for a transition period lasting a number of years to enable farmers to prepare for the new system.
But it also released calculations suggesting that around £150 million could be freed up for "public goods" in the first year through options including a £100,000 cap on payments, affecting around 2,100 farmers, or a progressive reduction in payments affecting around 19,000 farmers, of whom 13,500 would lose less than £5,000 and around 300 – all with claims worth over £200,00 – would lose more than £75,000.
NFU President Minette Batters today reinforced British farming's unique role in producing safe and traceable food and enhancing the countryside as Government releases its latest consultation on future farming policy.
Mrs Batters said that profitable, productive and resilient farm businesses are key to delivering the public goods that Mr Gove referred to in his announcement.
She said: "Good quality, safe and traceable food is a public right and we believe it is a public good for generations to come. British farmers have world leading standards in food production, animal welfare and environmental stewardship and we are committed to delivering those standards now and in the future, in the face of unprecedented change for the industry.
"In order to keep delivering for Britain, farm businesses need to be productive, profitable and resilient to volatility. This must be at the forefront of Government policy if we are to have a farming sector that feeds us, cares for our countryside and delivers economic benefits.
"While most British farmers would much rather farm without support, what we must be absolutely sure of is a level playing field. British farms cannot compete with others countries' agricultural goods on the global market if we are disadvantaged.
"It is vital that we don't start overhauling parts of the current system which support farmers in providing a healthy and affordable supply of food, without tested and operational alternative programmes and measures in place. We will be consulting with our members as we pull together our response to this consultation in the coming weeks."
The NFU now plans to fully consult with its members in a series of regional meetings during the 10-week consultation period to put forward to Government a representative view of the consultation announced today.
In line with its manifesto commitment, the Government will continue to commit the same cash total in funds for farm support until the end of this Parliament in 2022.
Launching a consultation on his plans, Mr Gove said: "As we leave the EU, we have a historic opportunity to deliver a farming policy which works for the whole industry.
"We are asking for the views of those who will be affected to make sure we get this right so any future schemes reflect the reality of life for farmers and food producers.
"The proposals in this paper set out a range of possible paths to a brighter future for farming. They are the beginning of a conversation, not a conclusion and we want everyone who cares about the food we eat and the environment around us to contribute."
Farmers, landowners and food producers will also be consulted on other uses for "public good" money, such as in Investment in technology and skills to improve productivity.