Category: Policy & Business

Michael Gove, Environmental Secretary, has announced plans to consult on a new independent body for environmental standards.  The new body will advise Government as well as having the powers to challenge and hold the Government to account after we leave the European Union.  Currently environmental decisions in the UK are overseen by the European Commission.  These are based on a number of ‘Environmental Principles’ such as polluter pays and sustainable development.  The consultation will also look into the content of a new policy statement to ensure these environmental principles underpin future policy making in the UK.  The consultation on the ‘scope and powers’ of the independent body will be launched early next year.

The deadline for applications to the growth Programme under the RDPA has been extended until 31^st May 2018.  The deadline for submitting Expressions of Interest was previously going to be 31^st January 2018.  The Growth Programme provides funding for projects in England which create jobs and help grow the rural economy.  The funding is delivered through Local Enterprise Partnerships (LEPS) who have developed local strategies and priorities.  There are 39 LEPs in England.  Funding is available in three areas;Business Development, Food Processing and Rural Tourism Infrastructure.  More information can be found on the Government website at https://www.gov.uk/government/publications/rdpe-growth-programme

A number of schemes in Wales are currently open or require Agreement Holders’ attention:

• Glastir Organic – New agreement holders in 2017 must submit their Organic Business Plans via RPW Online by 31^st December 2017.
• Glastir Advanced – All 2016 and 2017 capital works must be completed by 31^st December 2017.  Claims have to be made via RPW Online by 28^th February 2018.  RPW will be sending reminders to those affected.
• Glastir Small Grants – The next round of Expressions of Interest (EoI) concentrate on the Carbon theme.  This opened on 1^st November 2017 and will close midnight on 13^th December 2017.
• Co-operative Forest Planning Scheme – the window for EoIs opened on 23^rd October and will close on 30^th April 2018
• Co-operation and Supply Chain Development – The 5^th round opened for EOIs on 6th November and will close on 20^th December 2017.
• Farm Business Grant – This grant will re-open for applications on 2^nd January 2018.  See article of 1st November for more details.

Scottish BPS loan payments have began ahead of schedule.  Scottish Rural Economy Secretary, Fergus Ewing, has confirmed that about 12,300 farmers and crofters should have received 90% of their anticipated 2017 BPS payment by 1^st November.  This payment is earlier than expected; it was due in the first week of November.  The payments are being made via a National Scheme as Scotland’s IT system is (still) not in a position to have fully validated applications to make payments from EU funds until much later into the BPS payment window, which runs from 1^st December 2017 to 30^th June 2018.  Those who have not yet applied for a payment under the National Scheme can still do so as soon as they receive a ‘loan offer letter’.

Scotland’s Tenant Farming Commissioner is inviting Landlords and Tenants to take part in a survey to find out their views and experiences of the conduct of agents acting on their behalf on agricultural matters.  The Tenant Farming Commissioner must complete the review and make recommendations to Ministers by March 2018 as part of his commitments under the Land Reform (Scotland) Act 2016.  Research Resource, a social and economic research agency based in Glasgow has been commissioned by the Scottish Land Commission to undertake telephone interviews.

The Bank of England raised the UK Base Rate to 0.5% on the 2^nd November.  Some younger readers may not have experienced a rise in interest rates in their working lifetime – the last occasion that Base Rates rose was on the 5^th July 2007, going from 5.5% to 5.75%.  Rates were slashed down to 0.5% after the Financial Crisis of 2008-09, and dropped once more to 0.25% after the EU Referendum.  The Bank of England has now reversed the latter cut, as it wants to keep control of inflation.  The UK economy has proved quite robust with high employment and reasonable growth, giving the Bank an opportunity to raise rates with less concern over hurting the economy.  Most forecasters believe there will be two more rate rises in the next couple of years, bringing the Base Rate up to 1%.  Whilst these increases will have an effect on the borrowing costs of those not on a fixed-rate deal, it should be remembered that lending rates remain at historically low levels, and look set to remain so.  

The Farm Business Grant will re-open for applications on the 2^nd January 2018.  The deadline for completed forms is the 2^nd March.  The scheme provides 40% grants for investment in particular items of equipment and machinery.  The minimum grant is £3,000 and the maximum £12,000.  The first rounds of the scheme were under-subscribed with all eligible applications being funded. 

The NFU of England and Wales will be looking for a new leader come February.  The current President, Meurig Raymond, has indicated that he will not seek re-election when his current two-year term ends next year.  He has stated that, with Brexit negotiations likely to run on for some years, and his desire not to continue in office beyond 2020, he is stepping down now to allow someone else to take up the post who can provide continuity.  Mr Raymond was voted as the successor to Peter Kendal as President in 2014, and was re-elected in 2016.

New grant funding is available for farmers in England to improve productivity and add value to farm produce.  An extra £40m is being committed to the Countryside Productivity Scheme (CPS).  As reported on in August, this was already open for forestry and water management projects, but is now being extended further.

Grants of 40% are available, with the minimum grant level being £35,000 and the maximum £1m under the productivity strand.  Examples of the type of productivity investments that will be funded under the CPS are;

• robotic equipment and systems to aid production including robotic milkers and robotic harvesters
• equipment to increase the use of renewable energy produced on farm (but not equipment for the generation of energy).  Includes heat distribution systems and battery storage for renewables
• LED lighting for crop production
• slurry and digestate management equipment

Funding for processing to add value is available for most farm produce including milk, eggs, meat grain, fruit and vegetables.  Applicants for these grants have to submit an Expression of Interest before being selected for a full application.  The deadline to submit EOI is 29^th June 2018.  Under the Productivity strand, there is a single-stage application process with a deadline of 3^rd December 2018.  For more details see – https://www.gov.uk/guidance/countryside-productivity-scheme