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Katherine Pretswell-Walker


* * Katherine Pretswell-Walker & Samantha McAlister So what do I need to know about CAP Reform? The History of the CAP The History of the CAP Sets out farming ... – PowerPoint PPT presentation

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Title: Katherine Pretswell-Walker

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So what do I need to know about CAP Reform?
Katherine Pretswell-Walker Samantha McAlister
The History of the CAP
The History of the CAP
  • Sets out farming, environmental and rural
    development activities and controls EU
    agricultural markets
  • Designed to boost European food production and
    increase food incomes
  • Enlarged EU and changing agricultural
    objectives mean the CAP must evolve
  • Moving away from traditional subsidies towards
    provision of public goods (i.e. environmental)
  • Rural environment plays an increasing role
  • Pillar 1 Direct payments to farmers
  • Pillar 2 Rural development
  • Improve competitiveness
  • Improve environment and countryside
    (agri-environment schemes)
  • Improve quality of life and economic

The Future
2013 2020
The Future 2013 2020
  • New scheme, new entitlements and fresh
  • Due to start in 2014, now delayed to 1 January
  • 2013 2014 Single Farm Payments will bridge
    the gap
  • Owen Paterson, DEFRA Secretary of State, wishes
    to see a common environment policy, rather
    than a common agricultural policy
  • 27 member states need to find consensus
  • Greening and Basic Payment moving away
    from Pillar 1
  • Golden Ticket or carry forward old

The Future 2013 - 2020
2015 2020 The Golden Ticket?
  • Only those who claimed in 2011
  • Must be an active farmer and have land at his
  • No subdivision on a transfer
  • Complaints
  • - Should eligibility extend to other years (i.e.
    2010 or 2012)
  • - Subdivision
  • - Need to reapply

The Future 2013 - 2020
2015 2020 Entitlements remain the same?
  • May be able to carry over existing entitlements
    to new scheme
  • Only if already have a flat-rate payment scheme
  • Not an option for those who still make payments
    on a historical basis (Scotland and Wales)
  • Owen Paterson, DEFRA Secretary of State, says
    that he will take this option if it is on offer
  • We want to try and keep to the existing system
    as much as possible and keep things simple for
    claimants and the RPA

The Future 2013 2020
  • DEFRA is not proposing to end direct payments
    tomorrow but that during this 7 year period,
    from the beginning of 2014 to 2020, we should be
    moving in that direction. In an ideal world,
    yes, we would like to see them end soon after
  • If you look at Pillar 1, when you look at how
    many agricultural producers are actually
    producing, and living, below the official
    poverty line, it just makes you realise just how
    important Pillar 1 is, particularly in the
    tenanted sector, where they have to pay a rent
    before they take any drawings. Take Pillar 1
    away and I think yousnatch the rug from a huge
    proportion of the tenanted sector TFA
  • The NFU argues that direct payments provide a
    degree of income stability to farmers which
    enables them to maintain productive capacity
    despite volatile agricultural markets

Issues to Consider Problems with Uncertainty
Issues to Consider Problems with Uncertainty
  • Existing tenancies
  • Farm business tenancies
  • Agricultural Holdings Act tenancies
  • New farm business tenancies
  • Surrendering land
  • Buying land
  • Selling land
  • Partnerships and restructuring

Issues to Consider Problems with Uncertainty
  • Proceed with caution
  • Keep up to date
  • Take advice
  • Consider longer term implications
  • Can it wait?
  • What if it cannot wait?
  • Take a view
  • Make sure documents are clear what is your
  • Dispute resolution clauses

Nothing is agreed until everything is
agreed (European Council)
Nothing is agreed until everything is agreed
  • Budget dependent
  • Irish Presidency wants political agreement by
    end of June 2013
  • Nothing is certain until
  • It is within the European Regulation
  • It is implemented by DEFRA

Any Questions?
Thank you
Katherine Pretswell-Walker Samantha McAlister
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