The English Basic Payment Scheme (BPS) payment rates for 2021 have been published by Defra, at £233.30/ha for non-SDA land and £231.60/ha for SDA regions other than Moorland. The Moorland SDA rate is £64/ha.
These rates are before the cuts to direct payments in England which begin this year, at a minimum of 5% for payments of less than £30,000.
“This is rather earlier than normal and bodes well for the early payment to English farmers from 1st December,” said Andersons’ head of business research Richard King.
See also: More on payments, schemes and grants
“The gross rates have increased slightly, but the effect of the agricultural transition will see farmers receive less than last year.”
The calculation of entitlement values is done from scratch each year. As the sum of money available under the BPS is fixed, the payment per entitlement tends to rise as slightly fewer entitlements are claimed each year.
BPS reductions for 2021
|Up to £30,000||5%|
|£30,000 to £50,000||10%|
|£50,000 to £150,000||20%|
Under BPS, farmers need to hold an entitlement for every hectare of eligible land they are claiming on. The size of farmers’ payments will depend on how many entitlements they use, supported by eligible land and the value of those entitlements.
Defra warns claimants to beware of fraudsters, who may target farmers receiving subsidy payments.