I was actively farming in 2013 and got a Single Farm Payment (SFP). If I lease out most of the land on a seven-year lease from June 2014, what danger is there for me? What are my solutions?

As you were farming in 2013 and got a SFP, you have an allocation right in the new system. The fact that you are keeping some land in 2015 means you will remain active if you submit the land along with at least one entitlement. Once you do this, you can enter into a private contract clause with the lease. The entitlements will be established in your name in 2015 and then be leased for 2015. They will revert to you at the end of the lease.

Would keeping more sheep for the grassland sheep scheme be a better option than buying entitlements in 2014?

No. The payment for the 2014 grassland sheep scheme is based on the average ewes you held in the 2012 and 2013 census. It means the amount you get paid and subsequently carry into 2015 is now set.

I am to inherit land and entitlements in 2014. I am farming already, so does this mean I can hold onto the entitlements that came with the land?

Yes, as you inherited the land you ‘step into the shoes’ of the deceased and take their allocation right and reference land area that was established by them in 2013.

We bought entitlements in 2013 and claimed for them. We subsequently found they were not valid, so were not paid for them. They were the only entitlements we had. Do we buy more entitlements?

Unfortunately, as you did not get paid a SFP in 2013, you do not automatically get an allocation right to the new system. Depending on your farming system, you may look to get what is called the Scottish derogation. To get it, you cannot have held entitlements, so don’t buy any in 2014. You will have to prove you were actively farming and producing for sale a produce that has previously been supported by Pillar I.

At the meeting, Andy McGarrigle, Department of Agriculture, said this disqualifies equine and also farmers just cutting hay or silage in 2013. The exact criteria for the Scottish Derogation have to be fully finalised.

I’m a young farmer, but won’t get my green cert until June 2016. Will I qualify for the 25% top up in 2016 if I take over the family farm?

If you submit the family farm in 2016 in your own name, you will get the young farmer top-up in 2016. The fact that you will finish the course in 2016 is adequate. One point made by Bernie Brennan, Department of Agriculture, was that a young farmer in partnership can get the young farmer top-up once they have a controlling say in the farm.

Can entitlement be spread on forestry land planted in 2013?

Once the land was eligible in 2008, it remains eligible for the purposes of drawing down entitlements in the new system.

Is variable rate greening fair? Farmers on low value entitlements do the same work for greening but get a lower payment. Surely flat rate greening would give an equal pay for equal work.

Andy McGarrigle made the point that low value entitlements are normally linked to poorer quality land under permanent pasture. As most farmers in these areas are exempt from greening, there is very little work to be done to get it. Arable farmers will bear the costs of greening.

Will there be a general template of a private contract clause drawn up by the Department which can be used to cater for various situations?

Valarie Kirwan of the department said yes, they are working on one, which would be available within weeks. This can be used by farmers who were farming in 2013 but want to lease out or sell part of their land and entitlements in 2014 or 2015.

What rate of VAT is on the sale of entitlements?

If you sell more than €37,500 worth of entitlements in a 12-month period, you have to charge 23% VAT. Sellers have to register once off to pay this VAT back the revenue.

Can I stack entitlements in 2014, as I cannot seem to get land to make up for some I lost after 2013?

Yes, you can stack in 2014 under normal consolidation rules. If you submit less land in 2015 than you submitted in 2013, you will establish fewer entitlements but your average entitlement value will be worth more.

Can entitlements be stacked after 2015?

No. They are automatically stacked in 2015 as the amount of money is spread over the eligible land submitted (apart for extra land you have taken on after 2013). If you lose land that you have entitlements for, you can either sell the entitlements of lease them out without land (a new option).

Is it the value of entitlements held in 2014 or the entitlements used or drawn down that decides the amount of money you bring into the new system?

It is the value of entitlements held in 2014. This means that even if you do not get paid on the entitlements in 2014, you will still get benefit from their value in the new system.

I have farmed 100ha of tillage for the past 10 years, 50 owned and 50 rented. I would like to consolidate my entitlements in 2015 but want to remain farming the land.

You must declare all the eligible land you farm in every year of the scheme including 2015. One option could be to share farm with the owner of the land in 2015. It means you would only submit 50ha and your entitlements will be consolidated. You would have to consider the implications carefully based on the owner’s circumstances, as he could decide to rent it to another farmer if he wanted.