The National Farmers’ Union (NFU) Scotland has written to Deputy First Minister and Finance Secretary Shona Robison seeking confirmation that £33m deferred from the agricultural budget last year will be returned.
In the Scottish Government’s Emergency Budget Review (EBR) in 2022, to support people and businesses through the unprecedented cost crisis, the funding awarded to Scotland as part of the 2019 Bew Review into the fair allocation of agricultural support in the UK, was deferred.
The then Deputy First Minister John Swinney publicly confirmed to Scottish Parliament that the sum would be returned to the sector in future years, so the NFU is looking for clarity on the timetable.
Future budgets are set through the annual parliamentary Budget Bill process and the appropriate profile for returning this funding will be considered as part of the 2024-25 process. In response to a Parliamentary Question last month, Robison confirmed that the money will be used to invest in Scotland’s rural priorities.
The union has requested to meet with her to discuss the rural affairs budget and how Scotland’s farmers and crofters continue to use that public support to deliver on food security, reducing emissions, nature restoration and growing the rural economy.
NFU Scotland president Martin Kennedy said: “It is a critical and decisive time for Scotland’s farmers and crofters, as agricultural policy in both Scotland and the rest of the UK is currently undergoing significant change.
“When food security and future production are such key issues for the nation, this is causing great concern for our sector.
“Funding from the Treasury for the sector is only committed until the end of this UK parliament, so clarity from the Scottish Government on future support, including the return of the Bew funding, would provide welcome reassurance.
“Without government investment, many farmers and crofters in Scotland would find it impossible to generate sufficient funds to reinvest and maintain their competitiveness and that has implications for consumers, food production and rural communities.
“It would also significantly undermine Scotland’s aspirations to grow our iconic food and drinks sector, as the major plank of green economic growth, whilst sustainably tackling climate change, nature restoration and rural depopulation,” he added.
An NFU Scotland survey conducted in January found that almost two thirds of farmers and crofters identified uncertainty around future agricultural policy and funding as the most significant threat to their businesses.
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