Buying and selling SFP entitlements strategy
- Buy entitlements to secure support for land bought or rented without them
- Sell surplus entitlements, or to just to realise cash now
- Sell poor value entitlements and buy higher value ones. Can be done without a large investment
Sell entitlements for 2007 claim year to boost cash flow, then buy back before 2 April 2007 Pay another farmer to take set-aside entitlements, being careful not to infringe EU ‘artificiality’ laws Surrender low-value entitlements to create naked hectares to unlock higher value entitlements Investment – Annual returns on entitlements are much higher than those offered by banks or building societies Buy entitlements with low historic values – the value will increase during the move to regional area payment, producing higher returns Buy set-aside entitlements cheaply now. They will be worth the same as normal entitlements in 2012, and still allows non-food crops and miscanthus cultivation
See more