Many lowland farmers will lose out under interim Environmental Stewardship measures, says farm business consultancy Strutt & Parker.

Large numbers of farmers will have to wait until 2015 for new schemes to be available and, even then, they may not start until 2016.

The current funding programme expires at the end of December 2013 and the new programme will not begin until 2015, leaving a one-year transition period. While concerns over this potential ‘funding gap’ had been raised previously, Defra (Department for Environment, Farming and Rural Affairs) could not provide clarification without a CAP Reform agreement from Brussels.

The arrangements have now been spelled out as follows: all Entry Level Stewardship (ELS), Uplands Entry Level Stewardship (UELS) and Higher Level Stewardship (HLS) agreements starting before 31st December 2013 will continue for the entire duration of the agreement, subject to any changes necessary due to the introduction of ‘greening’ under CAP Reform; new schemes will be available to those agreements ending after 1st January 2015; and HLS will be available for sites delivering the highest environmental benefits, such as SSSIs and some expiring classic schemes.

New ELS agreements (under 2013 rules) will be available only for the following: those coming out of classic scheme agreements (Countryside Stewardship Scheme (CSS), Environmentally Sensitive Areas (ESA)) who will not be offered an HLS agreement; Those in the Uplands (Severely Disadvantaged Areas (SDA)) who have either not previously had a classic scheme agreement and who either have never been in ELS or who have an expiring ELS (rather than UELS) agreement; and those wishing to enter Organic ELS.

Renewals will only be available to those renewing Organic ELS agreements. For example, upland farmers who have ELS agreements ending in 2014 will have to go into UELS and will not be able to choose ELS only.

Fran Barrigan, surveyor in Strutt & Parker’s Northallerton office, said: “The new arrangements hold mixed fortunes for farmers. Those in the Uplands and those delivering environmental benefits, either organic or on conventionally-farmed high environmental value sites, will be able to access continued funding.

“The ‘losers’ will be those lowland farmers who do not have a classic scheme or an HLS agreement - these farmers will have to wait until the new schemes become available in 2015. A further sting in the tail is that the mandatory 1st January start dates under the new post-2015 schemes may mean that 2015 availability actually means a start date of 1st January 2016.”

Miss Barrigan added: “Quite what form the new schemes will take remains to be seen. Similarly it is too early to say whether significant numbers of farmers with ELS agreements post 1st January 2012 will want to exercise their ‘opt-out’ of ELS if the scheme changes due to greening. It is very much a case of ‘wait and see’ but those who do meet the criteria for obtaining a new 2014 agreement should be ready to consider their options.”

For advice or further information please contact Miss Barrigan in Strutt & Parker’s Northallerton office on 01609 780306.