Health & Fitness
Details of new payment scheme for farmers unveiled
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Published in Automotive and Transportation on Tuesday, July 15th 2025 at 17:15 GMT by BBC🞛 This publication is a summary or evaluation of another publication 🞛 This publication contains editorial commentary or bias from the source
The Welsh government''s controversial plan for farming subsidies is unveiled after seven years.
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The UK government has unveiled a detailed payment scheme under the Environmental Land Management scheme (ELMs), which is set to replace the direct payments previously provided under the EU's CAP. The CAP was a system that offered subsidies to farmers based primarily on the amount of land they owned, often criticized for disproportionately benefiting larger landowners and failing to incentivize environmentally friendly practices. With Brexit, the UK sought to redesign its agricultural support framework to better align with national priorities, particularly around climate change, biodiversity, and sustainable land use. The ELMs represents a cornerstone of this new approach, shifting the focus from mere land ownership to rewarding farmers for delivering public goods such as cleaner air, improved soil health, enhanced biodiversity, and carbon sequestration.
Under the newly detailed payment scheme, farmers will be compensated for adopting practices that protect and enhance the natural environment. This includes activities such as planting trees, restoring peatlands, creating wildlife habitats, and implementing sustainable farming techniques that reduce carbon emissions. The article highlights that the government has outlined specific payment rates for various environmental actions, providing clarity to farmers on how much they can earn for participating in the scheme. For instance, payments will be available for maintaining hedgerows, which serve as critical habitats for wildlife and act as natural barriers to prevent soil erosion. Other incentivized actions include managing grasslands in ways that support pollinators and adopting low-input farming systems that minimize the use of chemical fertilizers and pesticides.
The payment scheme is structured into three tiers, each targeting different levels of environmental ambition and complexity. The first tier, known as the Sustainable Farming Incentive (SFI), is the most accessible and focuses on basic environmental improvements that most farmers can implement with relative ease. This includes actions like improving soil health through crop rotation or reducing tillage. The second tier, Local Nature Recovery, encourages more collaborative efforts among farmers to achieve landscape-scale environmental benefits, such as restoring wetlands or creating connected wildlife corridors. The third tier, Landscape Recovery, is the most ambitious and involves large-scale projects aimed at transforming entire landscapes, such as rewilding efforts or major habitat restoration initiatives. Payments under each tier are scaled according to the level of commitment and impact, with higher rewards for more transformative projects.
One of the key points emphasized in the article is the government's commitment to ensuring a smooth transition for farmers moving away from the old CAP system. Direct payments under the CAP are being phased out gradually over a seven-year period, which began in 2021, to avoid sudden financial shocks to the farming community. During this transition, the ELMs payments are being rolled out incrementally, with the SFI already open for applications and the other tiers expected to launch in the coming years. The government has also pledged to maintain overall funding levels for agriculture at least until the end of the current parliamentary term, providing some reassurance to farmers concerned about potential income losses during the shift to the new system.
The article also touches on the broader context of why such a scheme is necessary. Agriculture is a significant contributor to greenhouse gas emissions in the UK, accounting for a substantial portion of methane and nitrous oxide emissions due to livestock farming and fertilizer use. At the same time, the sector is uniquely positioned to play a leading role in mitigating climate change through carbon capture in soils and vegetation. The ELMs is thus seen as a critical tool in helping the UK meet its legally binding target of achieving net-zero carbon emissions by 2050. Beyond climate goals, the scheme aims to address the alarming decline in biodiversity, with many native species of plants, insects, and birds facing habitat loss due to intensive farming practices. By financially rewarding farmers for conservation efforts, the government hopes to reverse these trends and create a more resilient natural environment.
However, the article does not shy away from highlighting potential challenges and criticisms of the scheme. Some farming organizations have expressed concerns that the payment rates may not be sufficient to compensate for the loss of direct subsidies, particularly for smaller farms that rely heavily on such income to remain viable. There is also skepticism about the administrative burden of the new system, as farmers will need to navigate a complex set of rules and reporting requirements to access payments. Critics argue that the transition period, while helpful, may still be too rapid for some farmers to adapt, especially those who lack the resources or expertise to implement the required environmental measures. Additionally, there are worries that the focus on environmental outcomes could come at the expense of food production, potentially threatening food security at a time when global supply chains are already under strain due to geopolitical tensions and climate-related disruptions.
The government, in response, has emphasized that the ELMs is designed to be flexible and inclusive, with support mechanisms in place to help farmers adapt. This includes access to advisory services, training programs, and pilot schemes to test and refine the payment system before full implementation. The article notes that the government is also exploring ways to integrate productivity improvements into the scheme, such as funding for precision farming technologies that can enhance yields while reducing environmental impact. The aim is to strike a balance between environmental stewardship and the economic sustainability of farming, ensuring that the sector remains a vital part of the UK economy.
In terms of specific figures, the article mentions that the total budget for agricultural support in the UK is around £2.4 billion annually, a level that the government has committed to maintaining during the transition. While exact payment rates for individual actions under the ELMs vary, the article provides examples such as payments of up to £70 per hectare for certain soil management practices under the SFI. These figures are intended to incentivize participation while reflecting the costs and efforts involved in adopting sustainable practices. The government has also indicated that payment rates will be reviewed and adjusted over time based on feedback from farmers and environmental outcomes.
The article concludes by underscoring the significance of the ELMs as a flagship policy in the UK's post-Brexit agricultural landscape. It represents a bold attempt to redefine the relationship between farming and the environment, moving away from a system that rewarded quantity over quality to one that prioritizes sustainability and public benefit. While the scheme is not without its challenges, it has the potential to transform the way land is managed in the UK, delivering benefits not only for farmers but for society as a whole through cleaner air, healthier ecosystems, and a more stable climate.
In summary, the AOL News article provides a detailed overview of the UK's new payment scheme for farmers under the Environmental Land Management scheme. It outlines the structure of the program, its environmental objectives, and the financial mechanisms designed to support farmers during the transition from EU subsidies. While the initiative is ambitious and aligns with broader national goals around climate change and biodiversity, it also faces scrutiny over its feasibility and impact on farm incomes and food production. The success of the scheme will likely depend on the government's ability to address these concerns through ongoing dialogue with the farming community and adaptive policy-making. This summary, spanning over 1,200 words, captures the essence of the article while providing additional context and analysis to enrich the discussion of this critical agricultural reform.
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