But they will need to be proactive in finding new sources of income.
The way in which the agriculture sector receives support from the government is changing and this will be seen first-hand in December, when the Basic Payment Scheme payment received on-farm is lower than in 2020. This payment will gradually reduce until 2028 when the BPS will have been phased out completely.
However, the government has stated that all of the funds saved from payments until 2024 will be put into other areas of agricultural support to boost productivity.
From 2022 capital grants will be available to support animal welfare improvements and vet visits for health and welfare management planning will be supported too.
Also during 2022, the lump sum exit scheme will be available to claimants of the BPS. The payment will replace future BPS claims and the claimant will be required to exit the industry. The tax implications of this payment and whether a ‘golden handshake’ will be offered remain unknown at this point
Rhydian Scurlock-Jones, director and head of rural at Savills in Telford.