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Early payment of Dairy Support Payments a small gesture

The first batch of EU Dairy Support payments has been made to over 10,000 farmers across England, Scotland, Wales and Northern Ireland today – two weeks in advance of the anticipated payment date for the grant.

The payments are an EU offering to help dairy farmers manage their cash flow whilst commodity prices remain low, and there remains the prospect of a late Basic Payment Scheme subsidy (despite the RPA’s assertion it will make the ‘majority’ of BPS payments in December).

“The support payment is only 0.176p per litre, multiplied by a farm’s annual production this means that the average eligible English dairy farm will receive just £1,800” says Jenny Towill, from Stags Professional Services in Wellington.

“This is a somewhat futile offering with the dairy sector experiencing a milk price which is in most cases well below the cost of production. It does however demonstrate real action from the UK government in recognition of the problem, after it fought to secure the £26.6 million support from Europe.”

“This is a positive step, and we hope that government’s support for British dairy will continue in this vein, with much more still needing to be done for the industry” says Jenny.

The Dairy Support payment is being administered by the RPA who can be contacted on their helpline 03000 200 301. For more information or an informal chat about this and other agricultural subsidies, please contact Jenny Towill of Stags Professional Service on 01823 653429 or email j.towill@stags.co.uk