TFA calls for Defra funding review to raise farm productivity

The Tenant Farmers Association (TFA) has asked Defra to review its Farming Investment Fund to ensure the government is making best use of the cash to help farmers improve productivity.

The multi-million pound grant scheme was launched last year to help farmers in England with productivity and to deliver environmental benefits.

It is made up of two parts – the Farming Equipment and Technology Fund (with grants of between £2,000 and £25,000), and the Farming Transformation Fund (with grants of between £25,000 and £500,000)

See also: Farming Investment Fund grants – what’s on offer?

The TFA wants Defra to consider a more tailored scheme that is open to all farmers.

Funding would be dictated by an individual business plan, which will encourage farmers to make investments to improve productivity.

Lynette Steel, TFA farm policy adviser, said: “Every farming business is different, and we would like to see the scheme move away from a list-based system to a more bespoke, plan-led scheme.”

Two schemes

The TFA has suggested two schemes that would be part-funded by redirecting the Basic Payment Scheme money, which is being phased out in England, and paid each year subject to farmers meeting their objectives.

A short-term productivity scheme would allow farmers who manage land on a short-term basis to be eligible.

Investment options would be for non-fixed assets such as equipment or technology to help improve productivity.

The TFA said the farm plan must demonstrate how the assets would contribute to productivity.

A second, long-term productivity scheme would pay tenant farmers to invest in infrastructure, even if they do not have occupation of the land for the length of the scheme.

If the applicant leaves the holding during the continuation of the scheme, the incoming tenant should have to honour the agreement.

Advisers

The TFA said government-funded local advisers should be available to help farmers with their business plan.

The advisers would work with agronomists or other farm consultants to create the productivity plan before funding is allocated. Farmers would then have an appraisal before the yearly payment to ensure they are meeting their objectives.

Concluding its recommendations, the TFA wrote: “Environmental improvement, food security and economic growth go hand in hand. Implementing a robust and comprehensive productivity scheme will help to achieve the government’s aims of long-term, sustainable growth and environmental improvements.”

Defra response

A Defra spokesman said: “Baroness Rock and her team recently provided an analysis of the issues and opportunities facing tenant farmers in England. The review is right to set out the importance of having a thriving tenanted sector if we are to deliver growth in our rural economy and unlock farmers’ potential to improve the environment. We will be looking closely at its recommendations.

“As we look at how we best deliver our environmental and productivity schemes, we will make sure that the needs of tenant farmers remain central to our plans.”