How arable incomes could benefit from mid-tier environment scheme
Farmers who were put off from applying for mid-tier last year should reconsider now that the application process has been simplified, but they should only choose options that fit the existing farm system.
Environmental Stewardship schemes can be a valuable source of regular income. Many growers, however, were put off by the complexity of the scheme launched last year.
©Tim Scrivener
Only about 2,000 people applied for the Countryside Stewardship (CS) mid-tier scheme in 2015, despite about 10,000 Entry Level Stewardship (ELS) schemes coming to an end.
Mid-tier was the replacement for ELS and differed in some key ways: it is not a whole-farm scheme and is allocated on a competitive basis. Some requirements appeared onerous, with some farmers claiming they needed to take as many as 400 before and after photos of the work being carried out.
Since last year, much time and effort has been put into alleviating some of the complications, so should arable farmers take another look at applying this year?
See also: Natural England bid to woo farmers into Countryside Stewardship
The mid-tier scheme is now in its second year, which has allowed for many of the wrinkles from the first year – including the failure of the Rural Payments Agency (RPA) online system – to be smoothed out.
Stephen Podd, farm conservation adviser at Suffolk Farming and Wildlife Advisory Group (FWAG), says the scheme got off to a stuttering start last year, but there have been some major changes since.
“Last year the application window clashed with harvest, but this year it is much longer, running from 14 March to 30 September, meaning there is a lot more time to put an application together,” he says.
Some of the information required for an application has been reduced significantly, while the guidance has also been made clearer, explains Mr Podd. Some soil sampling has been reduced, while other sampling has been pushed back to after approval, rather than during the application stage.
Minimum claim
Another significant change is the lifting of the £5,000 minimum threshold, which was harder to achieve for smaller farms. “This is just a suspension though, so it might get reintroduced,” says Mr Podd.
Find out more
For tips on putting your application together, visit the Cereals event, where advisers and Defra agencies will be on hand to offer advice.
He suggests that mid-tier options can be built on options already taken for ELS. “ELS was a good introduction to the CS scheme as it got farmers involved in making simple changes, but the CS is a big step up as it is more targeted.”
It is worth farmers being aware that the scheme does last for five years, but options can be spread over that period to be most advantageous.
One of the big differences between the mid-tier and ELS is capital payments for items such as hedges, water quality target areas, infrastructure and wash-off areas. “The mid-tier lets farmers take advantage of making improvements from a practical point of view,” says Mr Podd.
“Being targeted and competitive, it is worth taking a bit of time to think about the scheme in the context of the farm, commodity prices, greening and the basic payment agreement,” he adds.
Being targeted and competitive, it is worth taking a bit of time to think about the scheme in the context of the farm, commodity prices, greening and the basic payment agreement
Double funding
Farmers should also understand how the options integrate with ecological focus areas (EFAs) and how to avoid double funding situations, which can reduce the payment for clashing mid-tier options. This is because under EU rules, farmers cannot be paid twice for the same activity.
In addition, they should consider their own resources and manpower as some options require more labour than others, he adds. “The mid-tier requires more planning and thinking ahead than ELS did.”
Farmers must not just choose options for the sake of it, but should really think about what they can do and where for the best advantage, advises Mr Podd.
To achieve a strong application, they should highlight potential opportunities to enhance the landscape in the long term, such as planting boundary trees.
“This can add capital value to the farm as well as improving the environment for the future,” he says.
There is no cap on the number of options a farmer can choose to apply for, but Mr Podd advises farmers not to go overboard and put the whole farm in for the highest-paying options.
Increasing your chances
©Tim Scrivener
“It is important to put a sensible practical package together and choose options that focus on the highest priorities of the farm and area. If the farm is in a catchment sensitive area, speak to your local Environment Agency farming officer – getting their backing can help lift your score on the application,” he suggests. Options can also be paired together to get the best out of the payments.
Farmers who offer the most environmental benefits and show the most understanding of environmental priorities are likely have more chance of success, according to Claire Robinson, countryside adviser at the NFU.
“The RPA mapping system will allow farmers to see what the priorities are for their land.” Land and farm buildings must be registered with the RPA, which offers an online option selection tool, allowing farmers to identify the highest-scoring options for their farm.
Opting for the wildlife package can be a good way to boost the application score, but farmers who have an EFA must put 5% of their land into the wildlife package, warns Ms Robinson.
“Dual claiming has been permitted this year, where a landlord can claim the Basic Payment and a tenant can claim the agri-environment scheme – or vice versa.”
Higher return than crops
With low commodity prices, the return from some options could be more beneficial than growing crops, says Mr Podd. “Overwintered stubble can help clean fields up. So really, farmers can use the options to their advantage.”
Option payments vary, with wild bird seed mixture earning £640/ha, while a 12-24m watercourse buffer strip on cultivated land earns £512/ha.
Capital items such as hedgerow coppicing earns £4/m, while a wooden field gate is £390. Payments for multi-year land management options have to be claimed by 15 May each year, while payments for capital works must be claimed in full once the work is completed, or, if part of a multi-year agreement, claimed in stages.
One note of warning: The application will take time, and there are some hazards to be aware of, says Ms Robinson. One in particular is for arable farmers who also have some stock, as this can impact upon the records a farmer needs to keep, regardless of whether land is used for stock or not.
It is worth speaking to advisers at FWAG or other organisations to get help with choosing the best options and how to make the application, adds Mr Podd. Adas is also hosting a number of workshops across the country to give practical guidelines and advice on applying.
‘Going the extra mile will help farms cope with falling prices’
Jonathan Warr, Leys Farm, Swerford, Chipping Norton, Oxfordshire
Mixed farmer Jonathan Warr successfully applied for a mid-tier agreement in 2015 and acknowledges that the application process was complicated.
However, if farmers want this type of funding, they have got to be prepared to make the effort, he believes.
Farming arable and sheep at Leys Farm, Mr Warr saw the scheme as a chance to help tackle falling commodity prices. “The scheme will help keep the farm going during a generally hard time.”
Mr Warr used to farm mainly arable cropping, with the rest in woodland and permanent pasture. “This used to stack up commercially and we could manage,” he says.
“We claimed the Single Farm Payment and ELS, which was easy and not onerous but now, with the Basic Payment Scheme, our acreage gets caught out by the two-crop rule.
“I could see that commodity prices were falling and that with the two-crop rule and greening, we were going to have to change things significantly to make the farm work.”
Mr Warr began looking at the mid-tier scheme before it was properly launched and sought help from an adviser to put an application together.
“I would normally do applications myself, but when I looked at the mid-tier paperwork I knew that I would need some help.
“Everyone was complaining about the scheme in the last year and no one was applying, so I knew I had to get an application in during the first year, otherwise it would be a struggle to be successful in future years,” says Mr Warr.
Choosing which options to apply for meant looking at those that complemented what Mr Warr already did.
“We had 6ha of existing permanent pasture which was used for grazing, so we worked that into the scheme.” He has also opted to grow wild flowers, put in grass margins, mixes for pollinators and wild bird food.
Having over-wintered some wheat stubble, Mr Warr was surprised at the amount of wildlife it attracted, and he’s now hoping to utilise the scheme to generally improve the health and structure of his soils.
“If you are going to apply for it, you have got to embrace it and understand what you are doing and why,” he explains. “You also need to know how it fits into your commercial framework and the topography of your farm.”
