Northern Irish farmers have been provided more clarity on how the transition away from BPS to the new Farm Sustainability Payment (FSP) will take place.
The Department of Agriculture (DAERA) said the transition will commence following the launch of the temporary Farm Sustainability Transition Payment (FSTP) in 2025.
The current BPS payment is set to be replaced by FSTP in 2025, with the full FSP rolling out in in 2026, the department confirmed.
A spokesperson said: “One of the eligibility requirements for FSTP in 2025 and FSP from 2026 onwards will be the need for eligible farm businesses to activate five entitlements on five hectares of eligible land.
“To allow businesses to plan effectively, it is important to provide details at this stage of how the department plans to take forward the process of moving from BPS entitlements to FSP entitlements.”
With the introduction of FSTP in 2025, BPS entitlements will expire and be replaced with FSP entitlements, DAERA explained in its update.
Those farms that did not meet the farming activity requirements in the previously announced historic reference period of 2020 and/or 2021 will not be eligible for FSTP in 2025, and will not receive FSP entitlements.
DAERA said these businesses would have until the closure of the entitlement trading window in May 2025 to sell their BPS entitlements, otherwise they will cease to have a value.
The department spokesperson added that the changes outlined above reflected the policy decisions to date.
“However, before it will be possible to provide a definitive way forward the department is required to have underpinning legislation passed in the Assembly, which will be taken forward in the next number of months.”
