Defra have published their first Uplands ELS output report - looking at scheme (including the Uplands Transitional Payment or UTP) and option uptake. The report covers Uplands ELS uptake for the first 6 months of scheme implementation (July 2010 to mid-January 2011) and will be repeated in the coming weeks when a full 12 months data is available. The NFU has been pressing Defra and Natural England for this information for some time now, and so its publication is welcomed as it provides a greater insight to the profile of the schemes national and regional uptake.
Key findings of the report (after 6 months) are as follows:
Uptake of Uplands ELS:
• By the 14th January 2011, there were 3,559 Uplands ELS agreements covering 42% of eligible land in the Severely Disadvantaged Areas (SDA). Uptake appears to be greatest in the North East of England (67%) and lowest in the Midlands (25%).
Popularity of options:
• Excluding the compulsory upland requirements, Uplands ELS agreements have on average 1.4 Uplands ELS options and 5.5 ELS options. Perhaps not surprisingly, the most popular Uplands ELS options across England to date have been UL18 (Cattle grazing on upland grassland and moorland), UB11 (Stone wall protection and maintenance on/above the moorland line) and UL20 (haymaking).
Uplands Transitional Payment:
• Data provided by the Rural Payments Agency (RPA) suggest that there were 2,111 valid claims for the 2011 Upland Transitional Payment. Those farms not claiming the 2011 UTP and yet to have an Uplands ELS agreement are more likely to be very small, of robust farm type “other” (e.g. specialist horses etc.) and less likely to have been in receipt of Hill Farm Allowance (HFA) compared to the group of farms within these schemes.
• In terms of combined uptake, the proportion of SDA area (excluding commons) covered by those with Uplands ELS agreements and 2011 UTP is currently greatest in the Lake District (81%) and lowest in the South Pennines (49%).
Land tenure:
• In terms of tenure, the data suggest that a greater proportion of farms in receipt of UTP or in Uplands ELS (46%) have a tenancy agreement (of at least one year) than those not in these schemes (31%), although the difference is not significant when Defra excluded those that are a hobby/lifestyle choice or let out their land on short term lets and focus only on commercial farms.
Main conclusions:
One of the key specific questions for the NFU has been how well the new arrangements which were put in place in 2010 (i.e. Uplands ELS and the UTP) have managed to fill the income gap for upland farm businesses formerly in receipt of the HFA payment. Overall, of the 7,009 businesses receiving HFA in 2010, just over a third (2,514 or 36%) didn’t have a valid 2011 UTP or claim to have a live Uplands ELS agreement at the time the study was made. Subsequent analysis showed that out of these businesses, 1229 had later applied for Uplands ELS by mid-February, had existing CSS or ESA agreements but not a valid UTP claim or had an existing ES agreement in place. This meant that at the time Defra’s analysis was undertaken, it was not yet possible to link 18% of the businesses that claimed the HFA in 2010 with an agri-environment scheme agreement or the 2011 UTP. This figure was 32% in the Peaks and South Pennines but around 10-12% in the four most northerly regions and the South West Moors. These businesses tended to be very small in terms of both economic size and SDA area, accounting for 10% of the eligible non-moorland SDA area claimed under the 2010 HFA and 4% of the eligible SDA moorland area. Defra emphasis that these figures should be treated with some caution because of the on-going nature of Uplands ELS applications and analytical issues.
From the NFU’s perspective, this is clearly a moveable feast with much of these data already being out of date. For example, a further 1028 agreements (covering an additional 150,000 hectares, or nearly 1,100 agreements), became “live” between the 14th January and 8th June 2011 and are not included. This report does provide at least an early indication that the majority of those who previously claimed the HFA in 2010 are now receiving either Uplands ELS or the UTP. However, there are some gaps and significant regional differences that warrant further analysis, for example the generally lower UTP/agri-environment uptake in the Peaks and South Pennines compared with other upland regions.
We can expect further analysis from Defra later in 2011, including the results from the their farmer attitudes survey which should shed some light on how Uplands ELS agreement holders have found the actual application process and implementation of the scheme’s management options/requirements on the ground.
Meanwhile, you can read the full report which has some quite useful regional breakdowns on the Defra website at:
http://www.defra.gov.uk/statistics/foodfarm/enviro/observatory/research-projects/published-research/uplands-projects/
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