The introduction of the Biodiversity Net Gain (BNG) requirement for developers will be delayed until January. This legal requirement to increase the biodiversity by 10% during construction was due to come into effect this November. It has been stated that the delay is to allow more time for Planning Authorities to get prepared for the rules. This announcment seems to fall into a recent pattern of the Government rowing-back on environmental commitments – for example Nutrient Neutrality, ban on fossil-fuel cars, heat pumps etc. More details can be found at – https://www.gov.uk/government/news/biodiversity-net-gain-moves-step-closer-with-timetable-set-out .
SFI 2023 opened on 18th September 2023, however not everyone can apply yet. Those who have already expressed an interest are receiving emails in a ‘controlled roll-out’ inviting them to begin their application; this includes a Pdf on how to apply. Applications are via farmers’ Rural Payments accounts. Feedback is encouraged so that the system can be improved, with the intention for the scheme to be opened up for more farmers to apply in due course.
Countryside Stewardship Mid-Tier
Many may be aware there have been ongoing technical problems with the Countryside Stewardship application portal, meaning that some have not been able to submit their applications. For some, these issues are still ongoing even after the second extended deadline of 15th September 2023. Defra has confirmed that those with an open CS Mid Tier application, or those who have submitted an RLE1 from with the intention to apply, will have additional time to complete their application beyond the 15th September deadline. We have heard of circumstances where applicants (or their agents) have been told to submit their application and when they receive the offer, they can make amendments. Whereas in other cases, it has not been possible to even submit the application.
Defra has announced plans to boost protected landscapes – National Parks and Areas of Outstanding Natural Beauty (AONB). Firstly, measures will be introduced to the Levelling Up and Regeneration Bill enhancing the status of the Management Plans that these areas must have. It is not yet clear what this might mean in practice, but it could have implications for farming and other rural businesses in these areas. In addition, £2m worth of funding will be made available for National Parks and AONBs to work more closely together and share best-practice. Lastly, the Government has (re-) announced the £10m boost in the Farming in Protected Landscapes Scheme (FiPL) and its extension to March 2025 which we reported on in the February Bulletin (see https://abcbooks.co.uk/farming-in-protected-landscapes-2/ ).
The Government’s plans to scrap the Nutrient Neutrality (NN) rules for housebuilding (see https://abcbooks.co.uk/nurient-neutrality-scrapped/ ) have been blocked by the House of Lords. The proposed change was due to be enacted in law through an amendment to the Levelling Up and Regeneration Bill currently going through Parliament. Due to Parliamentary rules, the rejection by Peers, by 203 votes to 156, means that this legislative route is now blocked. The Government is said to be considering its ‘next steps’ in light of this set-back. With the Government seemingly still commited to reforming the NN rules, it seems highly unlikely that any housebuilder is going to invest in NN offsets, in the short-term at least. Therefore, this market will still be ‘paused’, if not ended completely, until the new regime becomes clearer.
Payments have begun of the 2023 BPS (and Greening payments) to farmers. The Scottish Govenment states that 13,000 farm businesses will share £288m of these advance payments.
The Agri-Environment and Climate Scheme (AECS) will be open again in 2024 with an expanded offer. This was announced in the Scottish Governments’ Programme of Government on the 5th September. There will be a focus on organic conversion with an ambition to double the amount of land managed organically. Some actions that were not available in 2023 due to budgetary pressures will be open next year – the chemical & mechanical treatment of bracken, heather cutting and restoring of drystone or flagstone dykes. In addition, the Creation of Hedgerow option has had its limit raised from 500m to 1,000m and the Pond Creation & Restoration will be reintroduced albeit limited to 2000m2 per application. In addition, it was announced that there would be capital grants to improve slurry stores.
The application windows for the various elements are;
Slurry Stores – early 2024 (details to be announced)
Stand-alone organic conversion and maintenance – 1st February 2024 to 31st July 2024
Other Agri-environment – 1st February 2024 to 10th June 2024
Defra has announced an ‘accelerated payment’ for all those with a live SFI 2023 agreement by the end of this year. The payment will be worth 25% of the annual value of their agreement and will be paid within the first month of the agreement. It is unclear when the remaining payments will be made, they are supposed to be paid quarterly. The accelerated payment is intended to help farmers’ cashflows and is in recognition of the challenges faced with inflation and rising input costs.
Although the scheme is not open for applications yet, those interested are able to pre-register. Most will have received an email asking them to complete a form expressing their interest. It is also now possible to complete the form via farmers’ Rural Payment online accounts, using the new Sustainable Farming Scheme link which takes you to the the SFI ‘Register Your Interest’ Form. This form can also be found via https://defragroup.eu.qualtrics.com/jfe/form/SV_4NrweBnVkycIkT4. Those with SFI 2022 agreements are also encouraged to to express their interest in SFI 2023. All 2022 agreement holders will have their agreements terminated and will receive closure payments (see our earlier article https://abcbooks.co.uk/sfi-2022-closure/). Defra will work with these farmers to make an application to the SFI 2023
For those who have already expressed an interest, Defra has said it is ‘on track’ to start inviting them to apply for an agreement from 18th September.
The announcment of early payments under 2023 SFI agreements was part of a mini-package of announcements to mark ‘Back British Farming Day’ on the 13th September. Other elements include;
A £4m Small Abattoir Fund to support improvements at facilities slaughtering less than 10,000 head per year
The opening of recruitment for five extra agri-food attachés to boost the UK agri-food exports, as promised in the Prime Minister’s Farm-to-Fork summit earlier in the year
Confirmation that £15m will be available under the Farming Investment Fund to provide grants for barn-top solar installations. Grant applications will open later this year, along with a further £15m round for robotics and automation.
The Government has changed Planning Rules which could boost the development of onshore wind. There has been a de-facto moratorium on new wind farm developments in England since 2015. At that point the Planning rules were changed so that sites for turbines needed to have been pre-identified in a Local Plan (many areas don’t have a Local Plan, or they do not include such sites). In addition, any wind farm needed to have ‘community backing’. In practice, this meant that a single objector could see a development blocked. The new rules still require turbine sites to be pre-identified, but this can be done in ways other than through the Local Plan. In addition, Planning Authorities will be provided with guidance on how they can reach a ‘balanced view’ of whether their is local support for development. A further announcment will be made in the autumn on mechanisms whereby local communities can receive benefits if they host wind farms. Overall, despite these changes, the Planning hurdles to develop a wind farm in England remain high. There is unlikely to be a surge in opportunities for landowners.
More details have emerged on how the 2022 SFI Standards will be ‘closed’. As we have written previously (see https://abcbooks.co.uk/sfi-2022-agreements/), those who have SFI agreements under the previous 2022 rules will see these terminated with closure payments made.
Defra will give agreement holders 6-months’ notice of termination as required under SFI contracts. It is envisaged that all 2022 agreements will be closed by March 2024. Termination will be timed to coincide with quarter end dates. The closure payments are set out below. They are a ‘per Ha’ rate for each full year left under the agreement (so, for example, if an agreement is terminated after exactly a year, the farmers will get two of the payments set out below – to cover the two years left on the contract);
Arable Soils Standard – Introductory – £15.80 per Ha
Arable Soils Standard – Intermediate – £8.00 per Ha
Grassland Soils Standard – Introductory – £21.80 per Ha
Grassland Soils Standard – Intermediate – minus£5.50 per Ha. This is because the payment rate for the equivalent actions in SFI 2023 is higher – thus the agreement holder gains by moving from SFI 2022 to 2023. If the total claculation comes to a negative figure, there will be no payment made either way.
Moorland Standard – Introductory – no closure payment – the 2023 SFI offer is identical
A figure of £95 will be taken off closure payments to reflect the fact that SFI 2022 agreement holders will now be able to get the £95 flat-rate payment under SAM1.
In terms of entering the 2023 SFI, the aim is to allow any new agreement to start the day after a 2022 agreement has ended. The RPA is working on a way for applications to be made on land already under the SFI 2022. More details will be made available once the main SFI 2023 application process is up-and-running.
Defra has published new Guidance to Local Authorities which should make it easier for farmers to divert footpaths. Effective from 1st August 2023 it covers public rights of way that go through gardens and working farmyards. Local Authorities are now required to give due weight to the privacy, safety and security of landowners when an application to divert or extinguish a path is made. The Guidance does not yet have legal force, but should mean that applications to alter footpaths have a more sympathetic hearing.
