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20/05/2004

CAP reform - flexible 'ten month rule' announced



Farming ministers across the UK have agreed to adopt a flexible approach to the 'ten month rule' on new Common Agricultural Policy payments.

>From next year, English farmers and growers will get a new flat-rate
Single Farm Payment, phased in over eight years.

To qualify for the money, land must have been at the claimant's disposal for at least ten months in each year claimed.

European rules agreed earlier this year allow for various alternatives for setting the start date for the ten-month qualification period.

UK ministers have decided to let farmers set their own start date, which can fall between 1 October 2004 and 30 April 2005. Otherwise, 1 February 2005 will be the start date for those who do not choose an alternative.

Food and Farming Minister Larry Whitty said:

"Our approach reflects the clear preference of farmers to have as much flexibility in setting the start date for the ten month rule as can be allowed.

"This should help free the land transfer market which needed clarity on this aspect of the new payment scheme. We will review the operation of this system in the first year to see if further flexibility might be offered later."




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