21 June 2002

Scottish LFA proposals out

PROPOSALS for a revised Less Favoured Area Support Scheme in Scotland, to come into effect in 2003, have been released for consultation.

The new scheme, which was amended in part last year to limit major swings in over- and under-compensation compared with the old Hill Livestock Compensatory Allowances Scheme, has been given outline approval by the EU Commission.

Minimum stocking density of 0.12 livestock units/ha would be introduced to avoid over-compensation on inactive land. There would also be a maximum stocking density of 2lu/ha. Businesses exceeding this would receive no LFA payment.

Basic payments levels in 2003 would be £44.50/ha for fragile areas (the Highlands and Islands), and £36.50/ha for all other areas.

Further payments would be made based on a calculation that converts historic stocking levels for each farm into an area equivalent. Views are sought by Jul 19. &#42