With the Scottish Government having now written to some 16,000 Basic Payment Scheme (BPS) applicants many farmers will now have their first insight into the estimated value of their new BPS entitlements for this year and coming years.

While individuals are still unclear on when their vital support payment will arrive  what they do know is that through the Scottish Government’s previously-announced timetable the majority will receive their 70 per cent part-payment by the end of January. The rest paid is due to be paid by the end of March with the balance payment of 30 per cent to be delivered to everyone by the end of April.

Scottish Government has calculated the number of entitlements a BPS claimant may be allocated based on the land declared on their Single Application Form in 2015.   As some fields are still being assessed before being allocated to the right Payment Region NFU Scotland understands that for some people their illustration of Basic Payment Scheme entitlements will not include all their land.   This will be rectified when Confirmation of Entitlements letter are issued in March 2016.

NFU Scotland’s Director of Policy Jonnie Hall commented: “Members are understandably going to compare their estimate of their BPS total in 2015 with their final Single Farm Payment Scheme (SFPS) payment for 2014.  It is worth remembering that it does not cover any coupled support for suckler calves or hill ewe hoggs that will be received.

“While everyone's first step on transition will be different, a lot of our members will see a significant fall in their payments in that first step - especially heavily stocked livestock producers.  

“Those with land in either Payments Regions 2 or 3 – i.e. rough grazing – may also be concerned by an apparent shortfall in their number of entitlements compared to their eligible hectares declared.  This is because Scottish Government has applied a ‘reduction coefficient’ on all Payment Regions 2 and 3 land.

“In effect 90 payment entitlements will be allocated for every 100 ha of rough grazing.    This will mean that across the two rough grazing Payment Regions, there will be fewer entitlements allocated but of a higher value.  There will be no financial impact, but some margin to cover potential ineligible land going forward.”

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For more information please contact Ruth McClean 0131 472 4108 or email ruth.mcclean@nfus.org.uk.