Scotland wont limit aid to hill farms
2 August 2000
Scotland wont limit aid to hill farms
by Shelley Wright
SCOTLAND is unlikely to follow the example set by England and restrict subsidies to hill farmers to a maximum given area on each individual farm.
Scotland is expected to submit proposals to Brussels on Friday (4 Aug). It is believed ministers will not restrict the area on which payments will be made.
The Hill Farm Allowance scheme, unveiled in England on Wednesday (2 Aug) will replace Hill Livestock Compensatory Allowances (HLCAs) next year.
Details for Scotland are expected when Brussels gives its seal of approval.
But Scottish rural affairs minister Ross Finnie confirmed that, as in England, a safety-net would operate for the first three years of the new arrangements.
Any farmers who is worse off under the new area-based payments will receive 90% of the difference between the new payment and the old HLCA.
The safety-net will gradually fall to 80% in 2002, 50% in 2003 before disappearing completely the following year.
Scotland is also expected to base the new area payments on six existing land classifications, introducing two new rates giving a total of 12 different payments.
Scottish NFU president Jim Walker welcomed the announcement that there would be an income safety net for three years.
The union has stated clearly from the outset that any sudden, major redistribution of this vital lifeline for hill farmers must be avoided at all costs.
Mr Walker said he was pleased that Mr Finnie had pledged to review the level of funding allocated to hill farmers in line with future farm income figures.