As of today, 94% of farmers have received their full or residual Basic Payment Scheme (BPS) payments for 2024, according to a statement released by the Welsh government today (December 12).
According to this statement published today (December 12), a total of £227.40 million has been paid out to farmers via BPS.
This includes the £66.88 million payments paid to over 15,300 farmers, on top of the £160.52 million paid as BPS advance payments since October 14.
The deputy first minister and cabinet secretary for rural affairs, Huw Irranca-Davies, announced in May, that BPS will continue into 2025 under the new Sustainable Farming Preparatory Phase.
Following the publication of the Welsh Government’s Draft Budget for 2025 – 2026 this week, the deputy first minister has confirmed it will deliver a total budget of £238 million in direct payments to farmers in 2025, which is consistent with 2024’s payments.
The government has also confirmed that BPS 2025 is likely to be the final year of full BPS payments, with Welsh farmers choosing to remain in the scheme expected to receive reduced payments during the SFS transition period, which starts in 2026.
BPS
The deputy first minister, said: “We are committed to continued financial support for farmers, as they are at the heart of communities right across Wales, and they play a crucial role in our economy and food production.
“We live in uncertain and challenging times; however, you can be certain about this government’s steadfast commitment to supporting Welsh farmers to sustainably produce quality food, demonstrated today in the maintenance of the BPS budget, despite considerable financial pressures on other areas.”
Several SFS preparatory schemes have also previously been announced, including Habitat Wales Scheme, Habitat Wales Commons, Organic Support Payment, Farming Connect, and a new Integrated Natural Resources Scheme.
He also announced that new application windows have and/or will be shortly open for additional schemes like Growing for the Environment, Small Grants Environment, Small Grants Efficiency, Small Grants Horticulture Start up and the newly merged Agriculture Diversification and Horticulture Scheme.
“I recently published an updated SFS Outline demonstrating the significant changes we have made to the proposed Scheme thanks to consultation feedback from the industry and an intensive period of work with the Ministerial Roundtable and other stakeholders.
“The changes address the needs of Welsh farmers, while supporting the ongoing sustainable production of food, as well as climate change and nature commitments.
“We will continue to listen to, and work with stakeholders as we progress the extra detail needed before we make any final decisions on the SFS next year. We will continue to support the sector in a managed transition away from BPS from next year onwards,” Davies said.
In addition, the first ever Multi-Annual Support Plan (‘MASP’) was published today, which was first introduced in the Agriculture (Wales) Act 2023.
MASP sets out the Welsh government’s plan and suite of action for future support, providing the agricultural sector with assurance and transparency which will enable it to plan in five yearly cycles.
The plan describes each scheme that is intended to be in operation or expected to become operational during this period with a comprehensive description of the support available.
