Fighting to keep farming sustainable

Bill Beaton and his wife, Sarah, have built up their farming business since 2005 without being able to claim SFP. But they did claim LFASS on the land and it allowed them to expand from just a few cows to the 45 cows and 200 fat cattle they have now, alongside a healthy contracting business.

The couple are now worried the new CAP means they can no longer claim LFASS as their owners of the ground they farm will be claiming BPS entitlements on it.

Mr Beaton said in his situation, he does not blame the landowners: "In our case, a previous farmer claimed SFP entitlements for 2003 and only kept the land for a year or two but kept the SFP for the last 10 years and the landowner didn't get it, and we didn't get it.

"He claimed SFP without having any of the ground, or doing any of work on it so it's good the landlords can now get the new basic payment. But because the new BPS is linked to LFASS, it means we will no longer be able to claim.

"Whoever claims SFP has to claim LFASS, but how can the landowners claim LFASS if they do not have any livestock? They are in no way to blame and should be able to claim entitlements on their land - but we would like to continue claiming the LFASS," he stressed.

The couple will continue with their successful contracting business in any case, but their farming business may not be so fortunate if they lose the payment that allowed them to keep it going and they cannot continue to subsidise farming from contracting.

They face another issue, through no fault of their own, because they are claiming on a lot less land this year, they believe they will be hit by the windfall tax - which was aimed at slipper farmers.

He said: "We get hit with the windfall tax because the landowners are taking back the land so we are below the threshhold of what we claimed last year. Why should we be clobbered with the tax like slipper farmers, when we certainly are not?"

The couple are keen to highlight this issue to other farmers, who may still be unaware they will fall victim to the new rules. Mr Beaton said he is lucky to have a good relationship with his landlord, so was able to discuss the new rules openly.

The future for farmers hit by the new rules could be dire, worries Mr Beaton: "We can't keep subsidising the farming business through contracting, it's been a struggle and LFASS was tiding us over.

"If we don't get LFASS, we might have to give up the farming side of the business, continuing with contracting, as there's no point in farming if you don't make a profit.

"With a lot of our contracting customers, we only get paid when they receive their SFP or LFASS - so that will be a worry next year. This is our livelihood, we can continue no matter what, but we'd like to keep the farming business going for the kids' sake."

Responding to the Beatons' plight, a Scottish Government spokeswoman said: "The current problems some farmers on so-called grazing leases face are a result of the EU decision in 2003, implemented 2005, to link payments to land.

"The Scottish Government has been engaging with the European Commission to ensure we can use the flexibility permitted to deliver a CAP package that best fits the needs of Scottish agriculture as a whole.

"Since CAP is a European funding framework we have limited flexibility in how we are able to use this funding. We appreciate some farmers are in a difficult position, but increased voluntary coupled support payments, which are not connected to land, may go some way to mitigate this.

"It is important that rents adjust to the new CAP situation as quickly as possible," she added. "Rents are not within our control and it is for individual tenants and their landlords work out their arrangements between them.

"We would advise any farmer finding themselves in a difficult position on the new CAP to take professional advice as to the best course of action, not just for BPS and Greening but potentially for other support such as LFASS as well."