A “No Brexit” Deal & Farm Payments

As it stands a no Brexit deal is sounding more and more likely based on a 60/40 chance of this happening.

DEFRA have just confirmed that they believe it to be unlikely however, they have a duty to prepare for a “no deal!”.

The UK will have the freedom to design its own agricultural policy once it has left the EU. In England the policy “The Future for Food, Farming and the Environment” has been consulted on as well as in Wales the “Brexit and our land” policy.

If the UK leaves the EU in 2019 with no agreement in place, DEFRA and the Devolved Administrations will require beneficiaries to perform to the same standard as they do currently in order to receive payments. This will include onsite inspections and UK farms receiving payments which will continue as normal. Until DEFRA and the Devolved Administrators introduce new agricultural policies, all of the rules and processes will remain the same either through the agricultural bill due to be introduced by the UK Parliament or an agricultural policy of the Devolved Parliaments.

The Government had pledged to continue to commit the same cash totalling funds for farm support until the end of this Parliament, expected in 2022, this is a commitment that applies to the whole of the UK and provides for all of the farm support under pillar 1 and pillar 2 of the current CAP.

Tony Rimmer of Rostons stated “if a no deal scenario remains likely, it would be common sense that Minsters and Brexit Negotiators would be putting their time into negotiating a deal, not the fall back position. The majority of Farmers throughout the UK depend on farm subsidies and anything moving forward should be there to support them, especially in this drought that is currently affecting a number of businesses”.