Defra has opened a third and final round of its Countryside Productivity Small Grants scheme to help farmers invest in ag-tech. The government has also opened applications for its green social prescribing pilots which could allow land managers to work with local health organisations to help trial treatments for mental and physical illnesses using activities in the countryside.

FOOD & FARMING

Funds to boost productivity
£25 million has been made available in grants for productivity-boosting farming equipment in the third and final round of the government’s Countryside Productivity Small Grants scheme. Under the scheme, farmers in England can apply for grants of between £3,000 and £12,000 to buy new and innovative equipment. Farmers who have been successful in applying for grants in previous rounds of the scheme will also be able to apply for different pieces of equipment within this final round. As usual, new items have been made available, particularly those that will help farmers to benefit the environment. Applications close on 4 November, if you would like to discuss please contact Stuart Nicholls.

Although this is the final round of the small grants scheme, the Agriculture Bill does contain powers that allow the government to provide similar funding in the future. Further details on plans for 2021 onwards are expected later this year.

What does 2021 have in store for farms and estates?
On Wednesday 14 October 2020 we held a webinar to explore some of the major themes for the rural sector and what lies ahead for farms and estates. Hosted by Andrew Harle, Head of Rural, the speakers were Emily Norton (Rural Research), Rupert Clark (Estate Management), Andrew Wraith (Food & Farming) and Alex Lawson (Farms and Estate sales). They highlighted some of the challenges and opportunities relating to climate change, Brexit and the new regulatory framework, as well as previewing what 2021 has in store for the rural sector. Click here to listen to the recording.

Encouraging new entrants into agriculture
Transitioning away from direct payments will lead to more land becoming available for new occupiers and generate opportunities for new entrants and business expansion. Jonathan Baker Head of Programme Policy and Strategy for Defra’s Future Farming and Countryside Programme told the recent Westminster Insight conference that Defra is also considering measures to assist new entrants directly. Its plans would involve existing structures such as county farms estates which are already focused on creating opportunities for new entrants. The government may support investment in these farms to ensure that they offer good infrastructure and unit sizes which allow them to create opportunities for new entrants and a progression pathway so that their tenants can build up businesses and move onto larger farms.

Fair reward for farmers
Farmers need a “fair reward” for maintaining our landscapes says a new report from the NFU. The Landscape and Access report says farmland is the destination for 48% of visits to the natural environment in England, totalling around 4.1 billion visits every year. The public have access to more than 225,000km of public rights of way in England and Wales, and farmers maintain more than 411,000km of hedgerows. The report calls for the Environmental Land Management Scheme to be accessible to all farmers, with “fair reward for maintaining and improving landscape features”. It also calls for the government to harness farmers’ local knowledge when developing landscape-scale projects, and to offer incentives for the conservation of carbon resources such as hedgerows, woodland and soil.

Covid-19

Job Support Scheme expanded
The Job Support Scheme is being extended to provide a safety net for businesses across the UK that are required to temporarily close their doors. The Job Support Scheme is a successor to the furlough scheme and will open on 1 November and run for six months before being reviewed. Employees must be off work for a minimum of seven consecutive days to be eligible. Firms that are legally required to shut their premises due to local lockdowns will be eligible to claim 67% of each employees’ salary (capped at £2,100 per employee per month) from the government. The employer will be required to pay any associated national insurance and pension contributions. 

The government is also making some changes to the Local Restrictions Support Grant Scheme. These changes will make the scheme more generous: businesses which are legally required to close due to a nationally-imposed local lockdown will now receive up to £3,000 per month per property affected, rather than up to £1,500 per three weeks, and they are eligible for payment sooner, after only two weeks of closure rather than three. The entitlement for each affected property is based on its rateable value.

Wales: Help for tenants
The Welsh government has launched a Tenancy Saver Loan scheme to help private sector residential tenants who are struggling with rent arrears due to covid-19. Paid directly to landlords or agents, the scheme will offer 1% APR loans to be repaid over a period of up to five years. Once a tenant has applied for the loan they will be able to access support and advice services to help them manage their financial situation. The scheme will remain open until 31 March 2021.

POLICY

Agriculture Bill: Commons rejects food standards, net zero and pesticide clauses
A House of Lords amendment which would have required food imports to meet domestic standards has been rejected by a House of Commons vote. MPs voted by a majority of 53 to overturn the amendment, despite several Conservative MPs rebelling. The government maintains its position that it is committed to high standards and that creating new requirements for imports to meet particular standards via the Agriculture Bill is unnecessary. The failure to enshrine food standards in law is unlikely to be met with popular approval. In a recent Which? survey, 94% of UK consumers said it is important existing standards are maintained, and three-quarters (74%) said it was very important. Around three quarters (77%) said they’d be uncomfortable eating chlorinated chicken, while eight in 10 (81%) said they’d be uncomfortable with products from cows that had been given growth hormones. 

The House of Commons also rejected Lord’s amendments which would have imposed a duty to publish a National Food Strategy, limited the use of pesticides near people and buildings and created an emissions reduction strategy for agriculture. Many of these new clauses seek to create duties and structures to ensure the government delivers on its own policies. The votes mean that there has been little meaningful change effected to the Bill by the Lords other than technical, drafting and devolution related amendments. The Bill will now pass back to the Lords where reworded versions of its main amendments have already been tabled, assuming these gain the support of the House the Bill will return to the commons once again for further consideration. This ‘ping-pong’ process can continue until the two Houses reach agreement; if they don’t the Bill either falls or in some circumstances it can be passed by the Commons in the following parliamentary session without the consent of the Lords.

Tax and the rural sector
On Tuesday 6 October 2020 we held a webinar to discuss possible changes to capital and inheritance taxation, and legal and practical solutions to the potential ramifications of such changes. The webinar was hosted by Philip Gready, Chairman of Savills Rural, and the speakers were Jonathan Karas QC of Falcon Chambers and Clive Beer TEP of Savills. Click here to listen to the recording.

Amend the Highways Act to protect walkers
Countryside groups including the CLA, NFU and Countryside Alliance are calling for the Highways Act to be amended. Following a spike in livestock-related deaths, the organisations are seeking an amendment that would allow framers to temporarily divert public rights of way where livestock are present. The proposal provides a temporary diversion for a limited period of time, following a short notice period with clear notices placed at either end of the route. The organisations believe these diversions “would help reduce the risk of further serious incidents happening to visitors in the countryside and allow farmers to operate their businesses safely and effectively”. Last month tragically a teacher died in a field in North Yorkshire and a 72-year-old man from Carlisle died in Northumberland.

ENVIRONMENT & NATURAL CAPITAL

Nature Means Business
The Nature Friendly Farming Network has released a report that “presents the business case for farming in harmony with nature”, that involves establishing the Maximum Sustainable Output point of a business and producing to that level to achieve maximum returns both for nature and business. The Nature Means Business report includes the results of new research from Opinium. Of the 2,083 adults surveyed, three-quarters believe the government should provide more support to UK farmers that are tackling wildlife and environmental decline. Seven in 10 also believe damaging practices should not be allowed to continue. It also includes five case studies of farmers from across the UK who are engaging in nature-friendly practices and have seen improved resilience and profitability as a result.

Gamebird shooting review
Whilst the RSPB remains neutral on the ethics of gamebird shooting, it is demanding reform to protect native wildlife. Following a review of gamebird shooting and associated land management practices, it outlined its new position at its recent AGM. According to the RSPB, new laws backed by tougher enforcement are needed to end the killing of birds of prey, to end the use of lead shot and to end burning of peatlands. The organisation also believes that all intensive gamebird shooting should be regulated to reduce negative environmental impacts. It does acknowledge that when managed with the environment in mind, shooting estates can have benefits for wildlife.

Particular attention was paid to driven grouse shooting where the RSPB sets out principles for how a licensing system might operate. Licences would set minimum environmental standards and if breached, the right to shoot would be lost. The RSPB says its focus is not on “walked up” grouse shooting. The organisation warned that “failure to deliver effective reform will result in the RSPB calling for a ban on driven grouse shooting”.

The call was rejected by the British Association for Shooting and Conservation, which said the RSPB risked creating a divide between itself and rural Britain. “No one in shooting wants to see environmentally damaging practices,” said chief executive Ian Bell. “The RSPB needs to acknowledge that, rather than damaging its relationship with a key conservation community.”

Research by Dr Rufus Sage, head of lowland research at the Game and Wildlife Conservation Trust seems to support the BASC comments. His paper suggests that in general the ecological positives and negatives of gamebird releasing are balanced. But if shoots adhere to best practice guidelines, negative effects can be removed and the balance tipped in favour of positive environmental outcomes. The report found that habitat management for gamebirds can result in more songbirds in game woods, as well as more shrubby plants attracting bees and butterflies at their edges. It also found that there was little hard evidence of impacts on reptile colonies close to release sites. There was also little evidence that invertebrate communities in woodland or open habitats were affected away from release sites, and that 90% of gamebirds tend to remain within 1km of release sites.

Decarbonising Scotland
According to a Committee on Climate Change the Scottish economy has decarbonised more quickly than the rest of the UK, and faster than any G20 economy since 2008. A large majority of the emissions reductions have occurred in the power sector; it was responsible for two thirds of the reduction between 2008 and 2018. Renewable generation has almost tripled and unabated fossil-fuelled generation has fallen by 70%. Scotland missed its annual emissions target in 2018 and was unlikely to hit it in 2020, but due to the impact of Covid-19 on power demand, transport and aviation it is almost certain to be met. If you would like to discuss renewable energy projects in Scotland please contact Henry Grant.

PROPERTY & DEVELOPMENT

Benefits of community halls revealed
By definition community and village halls are at the centre of their communities and many are provided by or supported by rural estates. A new report by ACRE confirms the significant economic and social benefits that community and village halls provide. At least 10,000 individuals earn a living connected to the use of these buildings. From Pilates and Yoga teachers, to dog training classes to some 4,500 people employed as cleaners, caretakers and managers. 2,109 halls took part in the National Village Halls Survey 2020, half of them serving as a venue for private parties and a quarter hosting weddings. 70% of respondents have undertaken some form of construction work within the last five years, contributing over £46 million to the UK economy and often providing work for local businesses. One of the greatest challenges is recruiting new volunteers to help run halls, but it is hoped that with more people now working from home a new generation of people may be able to step forwards.

OTHER RURAL NEWS

Green social prescribing pilots
Applications are open to deliver four ‘green social prescribing’ pilots as part of a £4.27 million project to improve mental health and wellbeing in communities hardest hit by coronavirus. The pilots aim to work out how green social prescribing services can be scaled up in England to help improve mental health outcomes, reduce health inequalities and alleviate demand on the health and social care system. There could be opportunities for interested rural landowners to apply in conjunction with local health partnerships.

Agri-TechE REAP Conference 2020
Agri-TechE is hosting its annual conference - From micro-scape to landscape – innovating at the frontier – on Tuesday 10 November, from 9.00am to 5.00pm. Managing complexity is the biggest challenge for agriculture, as every variable – from the microbes in the soil to global weather patterns – can impact productivity, profitability and sustainability. Agri-TechE’s REAP Conference is taking a farmer-centric view of emerging agri-tech that promises improved decision-making at every level.

We are pleased to be hosting a Q&A session with the keynote speaker, David R. Montgomery, MacArthur Fellow and professor of geomorphology at the University of Washington. David’s latest book ‘Growing a Revolution‘ sought to answer the question “How can humanity feed its billions when one-third of agricultural soil is degraded?” Insights gained from a three-decade, six-continent survey of farmland have been synthesised into a blueprint for rapid soil restoration. David will use case-studies to discuss at REAP how even when the bigger view looks dire, incremental improvements that benefit soil ecology and nutrient cycling at a micro-level can revolutionise agriculture.

You can access a ticket to the conference for £40 (RRP £150) using this dedicated link.

And finally…
Rise from the ashes
We are regularly told how climate change will bring catastrophic events to our doorsteps more frequently. In California, wildfires are becoming almost an annual event and 2020 proved no different. For winemakers in the region, the blazes can often mean large parts of the grape harvest are written off as smoke tainted and lost. But Hoopes Vineyard in Napa Valley has a solution to use the tainted grapes. In 2017, it teamed up with Master Distiller Marianne Barnes to distil its smoke tainted wine into brandy. A perfect story of turning adversity into opportunity.