Coronavirus: Stewardship claimants offered bridging payment

Eligible claimants will receive a payment in May for 75% of the current estimated value of their claims
Eligible claimants will receive a payment in May for 75% of the current estimated value of their claims

Countryside Stewardship and Environmental Stewardship claimants are to be offered bridging payments for the 2019 claim year.

The Rural Payments Agency (RPA) confirmed today (28 April) that farmers will be offered interest-free loans for unpaid claims on their stewardship agreements.

Eligible claimants will receive a payment in May for 75% of the current estimated value of their claims to help with cash flow while the remaining processing is completed on their claims.

It comes as the RPA announced an extension of the 2020 claim window as part of measures to help rural businesses affected by coronavirus.

The agency's chief executive Paul Caldwell said the bridging payments would help to tide farmers and land managers over in May before their claims are paid.

"We know this is a difficult time for farmers and rural businesses, and our focus remains on processing the remaining claims so they can be paid as quickly as possible," he said.

A bridging payment is an interest-free loan to customers ahead of their full payment, providing them with 75% of the current estimated value of their claim.

Once the full payment has been processed and made, the amount already issued through a bridging payment will be held back.

The RPA announced that it will not be making bridging payments to BPS customers this year, as '99% of claims have already been paid in full'.

The agency added that it will be writing directly to farmers and land managers to provide an update on bridging payments and on how these payments will be calculated.