Farming exit scheme Published 8 February 2022

[DRC]

Unfortunately, as said before, this is not an option for tenants whose entitlements belong to their landlord and it is tenants who are the most likely to need this.

I think if a landlord was happy you were leaving , they might allow you to take the money or otherwise you wouldn’t leave .

 

[Treacle Sponge]

I think if a landlord was happy you were leaving , they might allow you to take the money or otherwise you wouldn’t leave .

Yes possibly. Less chance of that happening on an FBT though.

 

[farmerm]

I imagine the estate/ landowner would want the BPS value lost over the next four years paid by the outgoing tenant or the costs of buying in new entitlements if they surrendered their current entitlements to RPA if they claimed under this scheme.

Thus the above makes it a total non starter for most tenants wanting to quit unless the landlord is happy to forego any bps over the next 4 years as they will have no entitlements to claim on said land unless they buy some new ones/ have spare ones they can use from land that has for example gone for building.

With decoupling why would the holder sell entitlements for anything less than what the generate over their last 4 years? Surely the holder can continue to claim on decoupled entitlements even after their land has gone for building? It won’t make any financial sense for an incoming tennant/owner to buy entitlements at that price?

 

[Derrick Hughes]

Whys it capped so low? The majority of farmers i speak to are getting over 100k a year why are they being unfairly excluded?

Not many in Ceredigion getting 100 k
Hands up who's getting 100 k in Wales
I farm 600 acres and getting nothing like that

 

[Mixedupfarmer]

Diminished benefits then

It is, but better than nothing I suppose.

 

[Bossfarmer]

I don’t think the phrase £100k year and unfair, belong in the same sentence . It’s not for Scotland anyway .

if you want to free up a lot of land why exclude the ones with the most?

 

[oil barron]

The lump sum payment would be in place of the direct payments the farmer could have received over the rest of the agricultural transition period. It allows them to have their money up-front.

Can someone on welfare get 5 years of payment up front?

 

[Bossfarmer]

Not many in Ceredigion getting 100 k
Hands up who's getting 100 k in Wales
I farm 600 acres and getting nothing like that

88 pound an acre is it not? 100 pound per calf

 

[DRC]

88 pound an acre is it not? 100 pound per calf

I think it’s only in Scotland you get the calf payment

 

[beef 1]

Defra question


Why would it be necessary to dispose of , (or rent out) land rather than just not claim any subs amounts in any form, and surrender the entitlements to RPA .
By the time the transaction has been concluded , and agreed , so might the retiring farmer .
And its like the gov is telling you what you can or cant own or have after retiring without claiming further subs .
You can keep land to rent out for an income ,or you can gift it away , but you cant keep it to play with ?

 

[Derrick Hughes]

88 pound an acre is it not? 100 pound per calf

We get nothing for calf's

To get what you say you would need to be farming well over a thousand acres

 

[Still Farming]

Not many in Ceredigion getting 100 k
Hands up who's getting 100 k in Wales
I farm 600 acres and getting nothing like that

England ONLY

 

[Derrick Hughes]

England ONLY

Don't boast about it ,

 

[cjosmurray]

Yes, this is just one small part of the overall picture which we set out in the Agricultural Transition Plan in November 2020 https://www.gov.uk/government/publications/agricultural-transition-plan-2021-to-2024

We have a range of schemes for farmers continuing in the sector, including:
* farming investment fund to support investment in on-farm productivity improvements
* innovation, research and development investment to support new research and also adoption of new tech and practices on farmers
* resilience fund to provide free business planning advice to farmers https://defrafarming.blog.gov.uk/2021/07/13/the-future-farming-resilience-fund-providers-named/
* environmental land management schemes for those who want to produce public goods alongside food production - existing schemes, to be followed by new schemes

Unclear as to actual WHY for this land buy offer and how it is sold back to buyers, and how is the land going to be valued? Just by production records and Ops costs? Any soil science involved?

 

[JP1]

Good afternoon all

Today we've published information about our lump sum exit scheme for farmers who wish to exit the industry.

The new Lump Sum Exit Scheme will support farmers in England who wish to leave the industry though a lump sum payment, allowing them to exit the sector in a managed way. We expect farmers will be able to apply from April to the end of September 2022.

To be clear, this is not intended to push anyone to leave – it’s for those who want to leave, where a lump sum payment might help them to do so in a managed way.

We’ve also confirmed that the Government intends to legislate to make clear that lump sums paid out under the scheme will be treated as capital for tax purposes.

The news release is here: https://www.gov.uk/government/news/...upport-farmers-who-wish-to-leave-the-industry

The Government response following our consultation about the scheme last year is here: https://www.gov.uk/government/consu...rs-lump-sum-exit-scheme-and-delinked-payments

Details of the scheme can be found here: https://www.gov.uk/government/publi...-or-retire-from-farming-and-delinked-payments

Happy to answer any questions about the policy - the RPA are standing ready to answer any specific questions about your individual circumstances and eligibility on their normal helplines:

Email: [email protected]

Telephone: 03000 200 301

Sadly designed for folks claiming historical sub. As I don't claim, I can't apply for this scheme

I'm sure I'm not the only one so would you put our monies in a pot and do something useful with it like sorting on-farm approved slaughtering or saving small abattoirs or reforming food labelling?

 

[Bossfarmer]

We get nothing for calf's

To get what you say you would need to be farming well over a thousand acres

youll get more per acre instead, if you look at the sfp claimants list for scotland youll find page upon page over 100k

 

[DRC]

youll get more per acre instead, if you look at the sfp claimants list for scotland youll find page upon page over 100k

This scheme is obviously aimed at helping smaller farms, maybe tenanted, exit the industry. Not big acreage farms like yourselves , who are more likely to expand on the land given up .
What are the Scottish Government proposing ?

 

[Courier]

The £ for £ payments are destined for destined for large 500ha + “environmental schemes” - Food production is an irrelevance to those who wanted the Brexit freedoms of scouring the world for surplus and cheap produce.

 

[Bossfarmer]

This scheme is obviously aimed at helping smaller farms, maybe tenanted, exit the industry. Not big acreage farms like yourselves , who are more likely to expand on the land given up .
What are the Scottish Government proposing ?

not heard anything

 

[DrWazzock]

Farming exit scheme. A bit like one of those “In case of fire - break glass.” switches.