Changes to Scots’ suckler beef scheme ‘damaging’ say auctioneers

Scottish livestock marts and abattoirs say they are at risk of closure if the government presses ahead with its intention to require all suckler beef producers to have a maximum 410-day calving interval to qualify for future public payments.

Post-Brexit reform of the Scottish Suckler Beef Support Scheme (SSBSS), specifically the 410-day rule which the Scottish government says is designed to cut emissions from beef production, could have a “damaging ripple effect” along the whole red meat supply chain, warns Neil Wilson, executive director of the Institute of Auctioneers and Appraisers in Scotland (IAAS).

See also: Suckler beef payments set to roll out in Scotland

That, he says, would result in consolidation and closures of marts and meat processors.

IAAS, which represents Scotland’s livestock auction marts, the National Beef Association and the Scottish Beef Association, are urging the government to pause its plan while the organisation carries out an impact assessment.

“If we do this at pace, we can still achieve a policy outcome during 2025 from this vital beef sector support scheme,” Mr Wilson calculated.

Income source

The SSBSS is an important source of income for many Scottish suckler farms. For some it accounts for 33% of income support.

The IAAS suggests that herds in Scotland with fewer than 30 cows – equivalent to almost half of all beef holdings with 10% of the breeding population – could lose £241,240 in funding.

The assessment also estimates that some 25,000 to 33,000 breeding animals a year are likely to be culled for not hitting the required calving interval, with a potential loss of 100,000 head of cattle over four years.

That would result in a requirement for fewer livestock marts and the likely closure of one large abattoir, it adds.

In 2023, Scottish marts sold 344,564 head of cattle worth £415.8m.

Scotland’s five biggest beef processors currently process 75% of the entire Scottish beef kill which, according to Quality Meat Scotland (QMS), was 344,700 in 2023.

Poorly planned

Mr Wilson reckons that the overall impact of the proposed 410-day rule has been “poorly planned and researched”.

The IAAS also believes that the impact on greenhouse gas emissions would be “negligible at best”.

“Government has failed to fully consider the impact across all farm sizes, and they have totally failed to consider the impact across the entire supply chain,” Mr Wilson insisted.

“The estimated emissions reduction put forward as being achievable under this policy will only be realised if a substantial number of ineligible cows are culled.”

In 2024, the SSBSS has been paying out £105 a head on the Scottish mainland and £151 a head on the islands, worth around £40m to almost 6,000 claimants.

Government view

The Scottish government has defended its position, saying that reforming the suckler support scheme to include conditionality linked to calving interval, “is a key part of supporting the Scottish livestock sector in addressing climate change”.

Agriculture minister Jim Fairlie said: “The reforms were developed with the industry and will maintain the £40m paid annually to beef producers.

“It is anticipated to increase the rate to more than £110 per calf on the mainland, with the island rate potentially increasing to more than £160 per calf.”

Mr Farlie said the Scottish government’s approach was “in stark contrast” to the UK government’s, which is fast tracking the end of direct support to livestock farmers in England.

“We have committed to continue to support farmers and recognise the unique challenges facing our crofting communities.

“Our aim is to offer stability and sustainability. If we do not act now, then livestock producers will face further pressure down the line from buyers, processors and retailers to reduce emissions.”