There have been a few bumps along the road since the move to area-based payments in 2005, but to be fair to DAERA, it has always made it a top priority to get the Single Farm Payment (more laterally the Basic Payment Scheme) out as quickly as possible to farmers.

With £291.3m issued in direct payments to 98% of claimants on 1 September 2023, it is another year of record performance, beating the £286.9m issued on the same date in 2022. To ensure all the funding ring-fenced for farmers is utilised, payments have been increased by 2.32% this year. That compares to a 2.04% increase in 2022, meaning that payments in 2023 are up marginally. However, they are still behind what was paid out in 2021, when the then Agriculture Minister Edwin Poots added in £15.49m from unused COVID-19 support to the overall payment pot.

For the small number of farmers yet to receive their 2023 payment, they might have to wait a few weeks, as the system used by DAERA to make payments (Account NI) is the subject of an upgrade and unavailable until Tuesday, 26 September.

Changes

Given that the summer months can be a lean period for income on many farms, early payments in September are very welcome. However, changes are afoot, with one year left of the current system before a transition to a new Farm Sustainability Payment in 2025.

In that year, a percentage will be removed to fund a new Beef Carbon Reduction scheme, with payments made on prime NI cattle slaughtered at under 30 months in the previous year (2024). Beyond that, a new suckler payment and a gradual switch towards new agri-environment schemes is also proposed.

While area-based payments are not perfect, the system is easy to administer. DAERA, working alongside farm leaders, must be innovative in the design of new schemes to avoid a scenario where we all get bogged down in form filling and trying to stay on the right side of a raft of new rules.

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