CLA CAP Reform Overview presentation as given by CLA Agricultural Adviser Edward Barker - Swaffham, 7 March 2014

1. CAP Reform Overview
Edward Barker
CLA Agricultural Adviser
edward.barker@cla.org.uk
@edbarkercla

2. Consultation in Autumn 2013
Headline Decisions:
• Modulation at 12% (reviewed in 2017)
• No Certification Scheme
• Awaiting EFAs, Active Farmer & Dual Use
Background

3. • Policy objectives
• Capability to monitor / audit
Vs
• The RPA
• Disallowance Risks (£600m - 2005-2012)
DEFRA Implementation

4. • 30% of Direct (Pillar 1) Payments
• Penalties apply after first two years
(2017)
3 elements:
• Crop diversification
• Permanent grassland
• Ecological Focus Areas (EFAs)
Greening

5. Crop diversification
• Arable area 10 – 30 Ha: 2 crops
- Main crop < 75%
• Arable Area 30 Ha or more : 3 crops
- Main crop < 75%
- 2 crops < 95%
Winter & Spring crops = defined as separate
Species/ sub species
‘Permanent’ crops = exempt
Greening - 1

6. Permanent Grassland
• National ratios will apply rather than farm level
• Continuous grass for 5 years+
• Defra can designate further areas as ‘environmentally
sensitive’
Greening - 2

7. Ecological Focus Areas (EFAs)
•5% of arable area
•Eligible if arable land >15 Ha
•Weightings for each option
•Options could include:
-Fallow land, nitrogen fixing crops, catch
crops, short-rotation coppice, Buffer Strips,
Landscape features
Greening - 3

8. •Certified Organic
•Natura 2000 (SSSIs)
•More than 75% Permanent Pasture (only if
you have less than 30 Ha of arable land)
•Double Funding
Greening ‘Exemptions’

9. England is currently
broken down into 3
payment
areas:
- Non-SDA, SDA and
Moorland
- Defra likely to amend
these areas and payment
amounts – sending
money ‘uphill’
Regional Payments

10. 2 parts:
1. ‘Negative List’
• Exempt if direct payments > 5% of non ag. income
• Exempt if ag. activities are ‘not insignificant’
• Exempt if principal objective is ag. activity
Negative List: Water works, airports, railway services,
permanent sport & recreation grounds, real estate services
Member States can extend this list
Active farmer - Negative List

11. 2. ‘Minimum Activity’
• Growing crops or rearing animals
• Keeping land in condition to support grazing /
cultivation
• A minimum activity on ‘naturally kept land’
Active Farmer - Minimum activity

12. • Capping – no longer on the table.
• Minimum reduction in payments over €150,000 of
5%
• Only subject to 70% of Direct Payments (not
greening)
• Salaries will not be offset against deducted amount
Capping / ‘Degressivity’

13. • The minimum claim size will be increased from 1 Ha to
5 Ha
• Around 15,000 RPA claimants in 2012 were <5 Ha
• 50,000 Ha of land covered
• Cross Compliance failures high in this category
Minimum Claim Size

14. • England will rollover existing entitlements into 2015
• Can be traded after 1st January 2015, but only to ‘Active
Farmers’
• Excess entitlements removed after 2015 claim
• Can be transferred between June and mid-October 2014
• 2 year usage rule applies
Entitlements

15. • Mandatory
• Younger than 40
• Additional annual payment for
5 years
• 25% top up of average
payment per/Ha
• Limit set at 90 Ha
• No added eligibility criteria
• Up to 2% of Direct Payments
Young Farmers Scheme

16. • Revised scheme as part of the new look RDPE –
NELMS: One scheme, one set of options
• Higher baseline/entry requirements
• ‘Open to all’ but the bar has been raised
• New element to incentivise coordination amongst
claimants
• Dual Use
Revised agri-environment
schemes

17. Pillar2Pillar1

18. • All claims are likely to be online only
• All AES and BPS schemes will be in one place
• CLA in discussion with DEFRA on how to deal with
those who cannot go online
• The CLA are lobbying for hard copy guidance...
Claiming post 2015

19. Thank you
Edward Barker
CLA Agricultural Adviser
edward.barker@cla.org.uk
@edbarkercla