Lump Sum Exit Scheme

[midlandslad]

With the consultation due out on the exit scheme next week, is anyone interested in taking this payment and what would it need to be to incentivise you?

 

[Bald Rick]

I think the government (Defra & their advisors) are greatly over estimating the willingness of farmers to abandon their vocation (& I have picked this word deliberately).

There will be a number who would like to get out (debt being one) but will they jump? I doubt it.

We are generally optimistic pessimists as a breed

 

[Steevo]

We are generally optimistic pessimists as a breed

Apart from when it comes to government policy!

 

[neilo]

It will likely depend on the exact wording, and how many can find a way to scheme it, with Dad ‘retiring’ and son taking over as a new entrant.
Plenty done it in Wales so that the son could qualify for new entrant grants and extra BPS.

If it’s water tight, as it should be, then I would expect uptake to be limited.

 

[midlandslad]

I think that there are plenty that should seriously be considering it.

 

[midlandslad]

It will likely depend on the exact wording, and how many can find a way to scheme it, with Dad ‘retiring’ and son taking over as a new entrant.
Plenty done it in Wales so that the son could qualify for new entrant grants and extra BPS.

If it’s water tight, as it should be, then I would expect uptake to be limited.

I suppose the exit scheme for many is the carrot and the stick is the drop in payments.

How many have looked at their accounts and at best taken off 50% of the BPS?

 

[GeorgeK]

They would have better results if they distributed working calculators with instructions on how to use them

 

[glasshouse]

I think that there are plenty that should seriously be considering it.

Its always someone else

 

[glasshouse]

They would have better results if they distributed working calculators with instructions on how to use them

Farming has never been about money, never will be

 

[glasshouse]

Nurses dont fo it for the money

 

[midlandslad]

Farming has never been about money, never will be

It isn’t about money, but when the supply of working capital dries up a decision needs to be made.

 

[DrWazzock]

Here are my options in order of favourability:
1. Carry on as we are till the cash flow dries up ( next year??)
2. Let it to my very big busy cousin.
3. Sell up and either invest the proceeds at 0.00000001% or hand it to an advisor who’ll probably do better out of it than I will. Either of these options loses me a whole host of tax advantages and security.

Whether or not we run out of cash very much depends on the weather, but I’d rather stay here and spend my time on engineering projects in the workshop so I’d probably let the land, depending on what the other partners want. Whether this qualifies me for an outgoers payment I wouldn’t know. I wouldn’t be farming it. I’d just be building agricultural equipment, which is ten times more enjoyable than driving a tractor and watching crops shrivel up or blow away.

 

[jackrussell101]

All the talk of impending doom in UK ag is a little over exaggerated in my opinion.

Obviously I don't have a crystal ball, but there will always be a return for the UK farmer that warrants an equivalent standard wage and can put food on the table, otherwise we'd all just go and get a job.

In economics, the term is defined as ''normal profits''

 

[Hindsight]

I think the government (Defra & their advisors) are greatly over estimating the willingness of farmers to abandon their vocation (& I have picked this word deliberately).

There will be a number who would like to get out (debt being one) but will they jump? I doubt it.

We are generally optimistic pessimists as a breed

Is the word 'hobby' not equal if more applicable than 'vocation'? I do work for several older farmers - cannot see any of them 'retiring' until a hearse appears in the yard. An industry where one can plod along with a contractor keen to turn up with a tractor/cultivator, combine etc.

 

[jackrussell101]

 

[jackrussell101]

 

[Hindsight]

Does anyone know of anyone / or agents that have been advising / changed land and entitlement holdings to reduce with objective of reducing the rate of reduction of BPS monies?

 

[Martin Holden]

Farming has never been about money, never will be

I fully understand your sentiments but in this day and age all business's should be there to make money from the effort and investment made surely. Farming like any other business needs to survive, develop and continue and that’s not practicable without making money.

 

[7610 super q]

How much quitting money do we get ? What is quitting ? Can I still potter about on a bit of ground with blue tractors ?

 

[midlandslad]

There has been talk of £650/ha.