DIRECT payments to farmers will be reduced by up to a quarter next year, the government has confirmed.
The payments are currently made to farmers based on the amount of land they maintain. Higher reductions will be applied to higher payment bands, which would mean farmers who are paid £150,000 or more will see their payments reduced by 25 per cent.
The payments will decrease further over time until the final payments are made for the 2027 scheme year.
* For example, for a claim worth £40,000, a 5% reduction would be applied to the first £30,000 and a 10% reduction would be applied to the next £10,000.
A Defra report published on Tuesday, February 25 said the money saved would be reinvested directly into the farming and land management sector.
The report also stated that there was a clear desire among farmers to move away from the 'failings' of the Common Agricultural Policy quickly.
Some of the money will be used to start the national pilot of the government's future Environmental Land Management Scheme (ELM) which will see farmers paid for work that enhances the environment, such as tree or hedge planting, river management to mitigate flooding, or creating or restoring habitats for wildlife.
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