British farmer prefers to 'fallow' rather than grow

With the United Kingdom's exit from the EU on January 31, 2020, the British government had to look for an alternative to the CAP (Common Agricultural Policy) or the CAP. This resulted in the BPS (Basic Payment Scheme), to prevent a drop in income for farmers. That was not successful, but it does provide an annual fixed income based on a hectare allowance, to which every agricultural entrepreneur is entitled. The system is not simple.

Subsidy program phased out
The current schedule runs until 2028 and will be phased out from this year. Last year, the maximum basic premium for arable farming and grassland amounted to €272,25 per hectare. There are some catches, because it makes a big difference how big your company is and how big the total subsidy amount is. Income will be cut further in the coming years.

A pilot has been running since 2021 with the successor to BPS: the Sustainable Farming Incentive (SFI). In this program, farmers must choose themselves - through a gigantic menu - which environmental measures they apply to their company. There is an amount for each measure. This could include planting hedges or trees, sowing flower mixtures or providing bird feeding areas. There are currently 23 options to choose from. It is expected that no fewer than fifty will join this year. England, Scotland and Wales each bring their own nuances to the programme, tailored to their region.

Ministry puts on the brakes
Bottom line, with current prices for grain, rapeseed and field beans, among other things, it is more lucrative for British farmers to leave land fallow and collect the premium for a flower mixture, grassland or bird feeder field. This turned out to be so successful that Defra, the British agriculture ministry, is putting on the brakes. Defra stipulates that you may use 'only' a quarter of your area for green fallow.

“Producing food must be the main focus of our sector,” says Agriculture Minister Mark Spencer. "The government aims to be at least 60% self-sufficient in food needs. The six announced actions that cost agricultural land are intended for application to a small area and not a large part of your company." 

Back to MacSharry?
According to Spencer, farmers have not started en masse to leave land fallow, but he wants to get ahead of development. Until now it has been limited to a few. The situation is reminiscent of the 90s, during the European policy of the Irishman Ray MacSharry. Farmers were obliged to leave 15% and later 10% of agricultural land fallow. The current CAP also has such a regulation, whereby at least 4% must be non-productive. The Netherlands has applied for a derogation for this. After the outbreak of war in Ukraine, many countries already chose to set aside the fallow obligation in order to grow more food.

are British farmers not amused with Defra's decision. They already participated in the fallowing of their land last fall and did not sow winter grain. The possibility of switching gears and sowing a crop is small, especially if there is a lack of seed. It has not disclosed how the ministry will deal with compensation that has already been awarded. According to our own figures, 16.000 farmers have submitted an application to the SFI and 15.000 have already been accepted.

12% agricultural land in fallow scheme
The fact that the fallow schemes are popular is evident from the ministry's first acreage figures. They predict an increase in the surface area by no less than 80% to 558.000 hectares. That is almost 12% of the total agricultural area in the UK, which is 4,8 million hectares. The area of ​​wheat has fallen by 15%, that of winter barley by a fifth and rapeseed by almost a third. The cultivation of protein crops is shrinking by 14%. These figures give a slightly distorted picture. For example, the SFI has the so-called legume fallow where a leguminous plant is sown, but not harvested, and is left over in the winter to provide a food field for birds and other animals. That yields the equivalent of €692 per hectare this year.