The clocks have gone forward, and with the lambing and spring calving fully underway, Spring is now in full motion. March marked the opening of the Basic Payment Scheme Application window, and those wishing to receive de-linked payments between 2024-2027 must make a claim in 2023. We are told by DEFRA that between 2024-2027 there will not be a requirement to submit a BPS claim in order to receive the delinked monies. Please contact a member of the Agricultural Team who will be very happy to assist you with your application.
In other news, DEFRA have recently opened the applications for the Animal Health and Welfare Equipment and Technology Grant, which can offer between £1,000 to £25,000 to support improvements in livestock health and welfare, and are open to livestock farmers who keep cattle, pigs, sheep, broilers or laying hens. This grant forms the second rollout of the Farming Equipment and Technology Fund and looks to not only improve the health and welfare of livestock, but benefit productivity and profitability. The application window is open for 12 weeks and closes on the 15th June 2023.
As we transition away from the Basic Payment Scheme, it is expected that DEFRA will publish its Land Use Framework later this year. It is clear that the budget released from BPS will be transferred into other schemes available, including Landscape Recovery and Countryside Stewardship Plus. The Sustainable Farming Incentive has a rolling application window, and it has been announced that six new standards will be released this summer, in addition to the original three soil and moorland standards. However, moving away from Direct Payments sees significant changes to the management of agricultural land, as new grant payments look to support more sustainable farming practices in correlation with the Government’s Net Zero targets.
This links in with further new announcements on Biodiversity Net Gain (BNG), as new developments are required to achieve a minimum Biodiversity Net Gain of 10% from November 2023, either on-site or off-site as part of the Environment Act 2021. Some Local Authorities are electing to extend the required percentage net gain beyond the statutory 10%. Whilst BNG is only beginning to emerge as a new market, it has become a prominent topic for landowners. Where developers wish to achieve Net Gain off-site, landowners can look to enter into a long-term agreement whereby they will receive a return for undertaking environmental works and to provide habitat improvements where this cannot be achieved on-site by the development scheme. This therefore provides a potential opportunity for landowners to generate income in the form of on-going habitat management funding, bringing together buyers and sellers in a market that is expected to be worth between £135-274 million. Whilst this seems an exciting opportunity, it is expected that DEFRA will release more details in the next nine months and will look to provide guidance on how this off-setting scheme will tie in with wider farm business considerations such as taxation and the opportunity to combine with other grants available in the form of stacking credits, for example Countryside Stewardship.
It is evident that 2023 marks a momentous year for agriculture in England, as we prepare for the transition away from direct payments, and therefore please do contact a member of the Agricultural Team if we can be of assistance with on-going grant and subsidy applications, as well as all other agricultural matters, on 01832 732241.
Alexandra Abrahams
Graduate Surveyor