NFU demands quicker agri-environment payments in midst of serious cash flow issues facing farmers

The NFU is urging Defra to make agri-environment payments as soon as possible as it was announced yesterday just under half of claimants will not be receiving payments next week.

NFU Vice President Guy Smith said: “For 53% of claimants, it will be good to see at least some of the payment hit the account but these payments were expected two months ago. It’s certainly difficult to see the positives in this situation.

“It’s very frustrating that such a large proportion of claimants are not going to receive any payment as part of the agri-environment scheme next week.

“We are strongly urging Defra to resolve any issues that are holding payments speedily to enable quick payment. Many farmers face serious cash flow issues while they are owed £400million for work they have already done for this scheme.”

The NFU’s frustration continues with Defra’s decision to pay just 50% of the value of agri-environment payments rejecting the European Commission’s offer to pay 85% in the first installment.

The package, offered by Phil Hogan, was designed to support farmers as many experience cash flow problems. The decision to not take advantage of the package, the NFU says, is unacceptable.

Guy Smith added: “Another negative announcement from Defra on the agri-environment is leading more and more farmers to believe it’s a case of the glass is less a quarter full than it is three quarters empty.

“It’s extremely disappointing that just half of the value of the claim going to just over half of the claimants. I must reiterate that rest of the money owed on this scheme needs to be paid to farmers as early as possible.

“These announcements will do nothing to encourage farmers to think positively about the new Countryside Stewardship schemes.”