Scots government eyes up farm budget for further savings

More funding originally intended for Scottish farmers could instead be used to offset a £1bn shortfall in the Scottish government’s overall budget, it has emerged.

This is on top of £33m that farmers and crofters were expecting to get back in 2024-25.

Minutes of a meeting held in June between deputy first minister Shona Robison and NFU Scotland reveal that, not only might the return of the £33m of ring-fenced cash given by the UK government specifically for Scottish agriculture be delayed, but there could be a further raid on the farming budget.

See also: NFU Scotland demands clarity on £33m deferred funding

In that meeting, Ms Robison described public finances in Scotland as “among the most challenging since devolution”.

“As I’ve previously stated, I will not back away from the tough choices for the decisions I can control to manage the overall Scottish Budget,” she insisted.

“We will look to carefully manage our limited resources, and if further savings emerge from ring-fenced funds – as with the £33m – they will be returned in the future to support agriculture.”

Bew Review

The £33m in question was part of the 2019 Bew Review into the fair allocation of farm support across the country.

It was ring-fenced for agriculture, but removed by the Scottish government to support businesses and people through the cost of living crisis.

When questioned about when farmers and crofters could expect to see this cash again, Ms Robison said: “Future budgets are set through the annual parliamentary Budget Bill process and the appropriate profile for returning this funding will be considered as part of the 2024-25 process.”

NFU Scotland president Martin Kennedy said the union had been given a “categorical assurance” that the £33m would be returned to the agriculture and rural economy portfolio.

Scottish Conservative shadow rural affairs secretary Rachael Hamilton urged the Scottish government to make good on its original promise, and return this “vital” funding.

“If they roll back on their promise to reinstate the £33m that they cut from the agriculture budget, they will endanger food security, the livelihoods of thousands, and devastate rural Scotland,” she said.