Upland farmers are still waiting for payments through the Less Favoured Area Support Scheme (LFASS) from 2016, according to the Directorate for Agriculture and the Rural Economy in the Scottish Government.

The claims amount to over £2.5m worth of unpaid support money, around 4% of the overall budget. However, the majority of these businesses were awarded LFASS loans in summer last year. So far, 10,856 claims have be paid, sharing a pot of £63.1m.

Out of an initial number of 12,098 claims for LFASS support in 2016, 826 are either deemed ineligible or have been withdrawn. This number may rise as further claims go through the processing system.

Robert MacDonald, NFU Scotland LFA committee chair, said: “LFASS payments are not only a vital source of income for farmers and crofters in some of Scotland’s most rural areas but are also massive boosts to the economies of those communities.

“For 416 recipients to still not have received their 2016 payment, two years after they should have, is not just a costly delay to those farmers and crofters but also to their local businesses, who rely on a healthy and fair local economy.

A Scottish Government spokesperson said: “In any given year there are a number of more complex claims that take longer to resolve, and their value cannot be accurately assessed until they have been fully processed.

“Remaining LFASS claims for 2016 will be finalised as soon as possible and the majority of affected applicants received nationally funded loans last May to mitigate the impact of any delays.

From the 2017 LFASS claim year, 8,125 applicants have been paid to a total value of £51.1m.