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January 2005 heralded the Single Farm Payment
Scheme and the freedom to stock and crop land as
we wish, well almost. A spin off meant that
those no longer involved in agriculture but
awarded entitlement were able to make use of
land exchange schemes such as the one run by
Bell Ingram Limited to activate and claim SFP on
“naked acres”.
We understand that in Scotland a December
payment of approximately 70% will be received.
In England payments will not take place before
February 2006. Modulation remains unclear, we
anticipate clarification in due course.
SEERAD indicated that the SFP scheme rules for
2006 remain essentially unaltered, so each SFP
entitlement will require to be matched with an
eligible hectare, the ten month occupation rule
remains (1st October 2005 to 30th April 2006).
Set aside entitlement must be claimed in full on
set aside eligible land and eligible land must
comply with the cross-compliance conditions.
In 2005 Bell Ingram Limited let approximately
20,000 hectares. For 2006 additional set aside
and standard eligible land has been made
available, extending the area available solely
through Bell Ingram Limited to in
West Glenalmond
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excess of 30,000 hectares at competitive rents
(set aside approximately £90/acre and Standard
approximately £7.50/acre)
After considerable hype Land Management
Contracts (LMC’s) appeared in April 2005 with
three tiers; Tier 1: SFP, Tier 2: LMC Menu
Scheme and Tier 3: under development for
2007. The Tier 2 LMC Menu Scheme contained 17
options, ranging from Animal Health, Woodland
plans, wild bird seed mixtures, summer cattle
grazing to improving access allowing landowners
and occupiers to find options which were
attractive both financially and environmentally.
From our experience it was possible to obtain
payments of approximately £3,500 per annum per
application, though dependant on the area
claimed in the Single Application Form. The
trick was to identify areas for which funding
could be sought which were either being
undertaken or were proposed.
Looking ahead to 2006 LMC and SAF will be
combined (15th May 2006 deadline likely) with
the LMC Menu Scheme evolving. Not all Menu
options will change but they are unlikely to
remain the same. For further assistance or
advice on leasing eligible land for Single Farm
Payment or making a Land Management Contract
Menu Scheme application
Mark A N Mitchell MRICS
Associate Director
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