Effective 1 June, we have a new address: 34 Imperial Square, Cheltenham, Gloucestershire GL50 1QZ
Get in Touch Menu

Common Agricultural Policy - new scheme announced

18 November 2013

Political settlement was reached in June 2013 on the reform of the Common Agricultural Policy (CAP). With most of the detail now agreed, we have a good idea of what the new scheme will look like.

The amount spent on CAP in Europe is set to decrease by about 10% and a new scheme will replace the current ‘single payment scheme’ from January 2015.  The new scheme will be known as the ‘basic payment’ scheme.

To qualify for entitlements under the new scheme claimants must:

  • be an active farmer and “have eligible land at their disposal”
  • be able to match eligible land to the number of entitlements claimed
  • have received a payment under the single payment scheme in 2013
  • have a minimum holding size (this is likely to increase from the current 1 hectare to 5 hectares in 2015)

New entrants to farming, a small farmer scheme and a young farmer top-up grant are new editions to the proposed scheme.

Agricultural subsidy payments to large claimants will be reduced. Direct payments to farmers of over €150,000.00 (£125,610.00 at the rate prevailing on 30 September) will be compulsorily reduced by at least 5%.  However, salary costs can be taken into account before any deductions apply.

A major change will be the requirement for farmers to carry out “greening” measures in order to qualify for payments. These include:

  • maintaining permanent grass land
  • crop diversification
  • creating ecological focus areas

While some farming organisations are unhappy about these changes, others view it as good news for the wider rural economy and the environment as a whole.

If you have a matter you wish to discuss, please contact a member of our agriculture & estates team.

Adam Hale BA (Hons), TEP, FALA
View profile
Adam Hale
Related services
Share this article
Resources to help

Related articles

We welcome new senior associate to our agricultural team

Agriculture & rural affairs

We are delighted to welcome senior associate Adam Hale to our agriculture & estates team this month. Adam, a specialist in agricultural law, estate planning and estate administration, joins the…


Prescriptive rights – whose land is it anyway?

Agriculture & rural affairs

For prescriptive rights to arise over land, they have to have been exercised without force, secrecy or permission of the landowner. Winterburn v Bennet In the case of Winterburn v Bennett, the…

Robin Beckley MA (Oxon)
Consultant, solicitor

Private vs common land - use it or lose it

Agriculture & rural affairs

The High Court decision in Lancashire County Council v The Secretary of State for Environment is a salutary warning to landowners of the risks of not taking steps to prevent…

Robin Beckley MA (Oxon)
Consultant, solicitor
Contact us