BPS early ?

Jackov Altraids · May 6, 2022

Banana Bar said:
I honestly cannot believe the comments above. The RPA are doing something to help your cash flow, and you mostly are critical of this move.Do you all have such vast wealth that the BPS is just a minor inconvenience to you or have you all bought 2 yrs of N last year and not yet sold anything from 2021 harvest? For once, just once, wind your necks in and grow up.

BB

A few points;
1, If the government think it's ok to phase out BPS because we don't need it, why do they suddenly think its critically important to make an early payment.

2, The RPA are not coping with their current workload, this extra work is only going to make things worse for other payments.

3, I don't believe that the payment rate has increased since the single payment scheme was introduced in 2005.

The value of the payment has approximately halved since then just due to inflation [that's not including the recent rocket in input prices] while now only being 80% of last years value.
So be grateful for a payment 4 months early that is 20% of the value which you were paid 17 years ago.

jendan · May 6, 2022

Drillman said:
A smart man would use the early money to reinvest into something that makes them money…

im not smart so will probably just waste the money on a extra pen of store cattle bought a few months sooner….

What is a sure bet way to make quick money from money though?...................the stock market? bitcoin? hang around farm sales and resell classic tractors or other bits of machinery? :scratchhead:

Bury the Trash · May 6, 2022

spin cycle said:
bitta corn outfit....but i got a bill for some spray today and WTF

Well, You gave me a like on another thread for a post saying i was going ahead with growing SB , truth is i didnt
........because soon as its up you start spending money on it, no winners in that game, cept the spray and ferts companies .

Fed less conc than ever to my stock last winter with no detriment,( on balance with potential acidosis type health issues and hassles with feeding etc ) did grow more brassicas though and short term quick growing RG .

Combine wont be used here this season first time ever i can remmeber and in Dads time too,i will not line the pockets of others with us living on the bread line, f.ck them all,those hangers on, and sideways.

glasshouse · May 6, 2022

Jackov Altraids said:
A few points;
1, If the government think it's ok to phase out BPS because we don't need it, why do they suddenly think its critically important to make an early payment.

2, The RPA are not coping with their current workload, this extra work is only going to make things worse for other payments.

3, I don't believe that the payment rate has increased since the single payment scheme was introduced in 2005.

The value of the payment has approximately halved since then just due to inflation [that's not including the recent rocket in input prices] while now only being 80% of last years value.
So be grateful for a payment 4 months early that is 20% of the value which you were paid 17 years ago.

Perhaps janet hughes has passed on what she reads on here, and someone listened.
Cashflow is king for non cash rich farmers

Jackov Altraids · May 6, 2022

glasshouse said:
Perhaps janet hughes has passed on what she reads on here, and someone listened.
Cashflow is king for non cash rich farmers

They are being as helpful as a friend offering to hold your jacket so you can have a fight.

fieldfarmer · May 6, 2022

jendan said:
The arable mens share should go to the Pig,poultry,and cattle/sheep men this year. They dont need any of it with grain at over £300/ton and Oilseed at £850.

You obviously know some arable men who have sold all last years harvest at those prices because I don't, and the inputs for this year is crippling, please don't single sectors out we are all in this sh1t storm together.

Drillman · May 7, 2022

jendan said:
What is a sure bet way to make quick money from money though?...................the stock market? bitcoin? hang around farm sales and resell classic tractors or other bits of machinery?

I’m not a smart man so don’t know the newer I’m afraid.

i was more suggesting a theory for the Alan Sugars in the room!

Barleymow · May 7, 2022

Might slow early harvest sales ,can wait and see what the markets do in September/ October

DrWazzock · May 7, 2022

It’s very very welcome and I commend them on their foresight but it looks more and more like small change against spiralling input costs. We are only 200 acres but our fertiliser costs alone for next year are looking like £30k. £8k of BPS early does help but we’ll still need to find a large amount from our own reserves. We didn’t all sell this years crop late.
Hopefully cereal prices will remain decent, otherwise we will be wiped out.

jendan · May 7, 2022

Drillman said:
I’m not a smart man so don’t know the newer I’m afraid.

i was more suggesting a theory for the Alan Sugars in the room!

I wish i knew as well. I usually revert back to buying livestock thinking i can maybe get a 50% increase in 6 months

Rent is paid and grass is growing..........................now where are those dry ewe hoggs at £120 i can sell back at £180 in September.

matthew · May 7, 2022

We had the email from ?Useless too.
I think what struck me was a politician's use of the word ' permanent' - to be applied to future payments of BPS. Hasn't anyone told the S of S that the system is on its way out?
But I should remember that a week is a long time in politics.

I too think that with our nearest trading neighbours coughing up extra cash in an effort to damp down food inflation at source, or for their farmers to produce more, this gesture has more to do with 'carry on lads' than a genuine uplift in cash flow for England's farmers.

As said, 'end of july' for 50 per cent, and December for the balance is spreading the payment, not increasing it. But the man did say 'permanent', so who knows?

Drillman · May 7, 2022

For gawd sake everyone stop moaning, we’re getting some money sooner than expected and it will save us all some over hurricane fees in the run up to harvest.

just be grateful, smile sweetly and hold your hand out

Two Tone · May 7, 2022

matthew said:
We had the email from ?Useless too.
I think what struck me was a politician's use of the word ' permanent' - to be applied to future payments of BPS. Hasn't anyone told the S of S that the system is on its way out?
But I should remember that a week is a long time in politics.

I too think that with our nearest trading neighbours coughing up extra cash in an effort to damp down food inflation at source, or for their farmers to produce more, this gesture has more to do with 'carry on lads' than a genuine uplift in cash flow for England's farmers.

As said, 'end of july' for 50 per cent, and December for the balance is spreading the payment, not increasing it. But the man did say 'permanent', so who knows?

Although this is good news, it make’s me wonder what goes on in George Useless’s tiny brain.
Paying half our BPS early helps, but it is an ever decreasing circle insofar as it diminishes each year, without any credible alternative.

It would have been better if he abandoned the reductions and reimbursed us for the drop in BPs we have suffered so far, which will get worse every year up to 2027, when it disappears completely.

In his email he states:
“The price of agricultural commodities has always been closely correlated to energy prices. Manufactured Ammonium Nitrate depends on large quantities of gas and when the gas price spikes, so do fertiliser costs and other input costs such as tractor diesel and electricity. This means that farmers are carrying an increased risk on their profit and loss account, and I recognise that there is an increased pressure on cash flow in the short term.”

Yet he fails to point out that his Government’s decision to reduce the BPS amounts further compounds our Cashflow situation, further increasing our risk not only to Cashflow, but on our profit and loss account.

Cashflow might be king. But not being able to make a profit leads to disaster in just the same way.

farmerm · May 7, 2022

Drillman said:
For gawd sake everyone stop moaning, we’re getting some money sooner than expected and it will save us all some over hurricane fees in the run up to harvest.

just be grateful, smile sweetly and hold your hand out

I have no complaint just questions about the real motivation.

Suffolk Serf · May 7, 2022

Pan mixer said:
I don't care, I am very grateful for the cash flow improvement, I can carry on keeping pigs for a bit longer.

Yes me too. My early payment will pay the feed bill.....for about half a day! Bring it on.

jendan · May 7, 2022

farmerm said:
I have no complaint just questions about the real motivation.

Burying some bad news to come later? Scrapping red diesel ?

slackjawedyokel · May 7, 2022

matthew said:
Hasn't anyone told the S of S that the system is on its way out?
But I should remember that a week is a long time in politics.

Do you mean Secretary of State… or Sack of….

Two Tone · May 7, 2022

Further more to Useless’s email, with regard to his mentioning Ammonium Nitrate:
1. How anybody can justify using it compared to Urea at these high prices is beyond me.
2. Before BPS reductions started in 2021, our annual fertilisers costs were about 1/4 to 1/3 of what the BPS came to.
Even using Urea, the reduced amounts of BPS we shall get this year, will barely cover the cost of our Fertiliser costs!

That makes you think, doesn’t it?

slackjawedyokel · May 7, 2022

If folks are struggling to pay the bills until the (reduced) BPS comes in in December, how can it make any sense to spend all of the advance and more just on the price increase of nitrogen?
Sounds like a recipe for disaster to me.

Steevo · May 7, 2022

slackjawedyokel said:
If folks are struggling to pay the bills until the (reduced) BPS comes in in December, how can it make any sense to spend all of the advance and more just on the price increase of nitrogen?
Sounds like a recipe for disaster to me.

There will be some tight cash flow positions in Dec when people are used to having the whole BPS payment drop in the account.

BPS early ?

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100% I’ve had enough of farming!

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