NFU Cymru demands policy rethink over upland farmers

NFU Cymru is demanding Welsh government rethinks its future agricultural policy plans for upland farmers in Wales amid concerns they will force hill farms out of business.

The union’s concerns come against a backdrop of Welsh farm business incomes data for the 2022-23 financial year, which show a 37% drop across less favoured area (LFA) cattle and sheep farms.

The updated figures, published by Welsh government on 23 January, show sheep farming businesses in severely disadvantaged areas (SDAs) experienced an even bigger reduction in income of 45%.

See also: Welsh post-Brexit scheme risks 11% drop in livestock numbers

At a recent meeting, NFU Cymru’s LFA Board considered the impact on hill farming businesses of proposals included in the Welsh government’s Sustainable Farming Scheme – Keeping Farmers Farming consultation.

That sets out how the Basic Payment Scheme (BPS) will be fully phased out by 2029 and replaced by the Sustainable Farming Scheme (SFS) from 2025.

To receive a baseline payment, farmers must deliver 17 universal actions and two schemes rules, which require at least 10% tree cover and 10% of the farm managed as habitat. A time-limited stability payment, which reduces to zero by 2030, is also proposed.

NFU Cymru LFA Board chairwoman Kath Whitrow said hill farmers are very worried about delivering the practicalities of the SFS, adding that the board is “very concerned” that Welsh government is proposing to calculate the baseline payment on the basis of costs incurred, income foregone calculations.

“This, together with the fact that Welsh government currently proposes a stability payment that is time limited, means the scheme will bring no meaningful income onto Welsh farms to replace the BPS from 2030,” she warned.

‘Double whammy’ for commoners

Ms Whitrow said about 3,000 upland farmers with common land face a “double whammy”, as under the Welsh government proposals, common land will not attract the baseline payment.

It is essential that Welsh government addresses these concerns before the transition to the new scheme, she added.

A Welsh government spokesperson said: “The Sustainable Farming Scheme aims to secure food production systems, keep farmers farming the land, safeguard the environment, and address the urgent call of the climate and nature emergency.

“We have run an extensive co-design exercise in developing the SFS and we thank everyone who has been involved. The final consultation on the scheme, which includes proposals to support action on common land, is open and we encourage everyone to reply with their views by 7 March.”

Meanwhile, NFU Cymru is hosting a series of roadshows across Wales for farmer-members to come and learn more about the Welsh government’s SFS proposals and have their say. For more details, visit nfu-cyrmu.org.uk.

NI farming update

The Ulster Farmers’ Union (UFU) says it is “encouraged” by the potential restoration of the Northern Ireland Assembly and Executive and it has called for the agri-food industry to be prioritised after devolved government returns.

UFU president David Brown said several major issues need to be addressed, including future direct farm support measures, decisions on wildlife intervention in the bovine TB eradication programme, the need for clarity around ammonia controls and planning to help improve farms’ environmental footprint.