Convergence row rekindled

CAP: Frustration for Scottish agricultural sector as review into £190m convergence uplift money faces hold-up

The long-awaited review into Common Agricultural Policy convergence uplift money has been delayed, sparking anger at Holyrood.

Convergence uplift is money totalling around £190 million which was allocated to the UK by the EU, with the aim of bringing Scotland’s per hectare subsidy support figure more in line with the European average.

Scottish Government and farm industry leaders have long argued that the Department for the Environment, Food and Rural Affairs (Defra) had failed to give the money to Scotland, accusing Westminster of stealing cash destined for Scottish farmers and crofters.

Many Defra politicians have promised a review of the issue and one was believed to be under way. However, Defra Secretary Michael Gove has written to Rural Economy Secretary Fergus Ewing telling him the review had been held up.

In the letter, Mr Gove said the draft terms of reference for the review were submitted to the Treasury on April 12 and it was considering these.

He said it was a matter for the Treasury and Devolved Administration EU Exit Co-ordination Group, which was set up to look at various fundingrelated EU exit issues.

Mr Gove added: “I am very much aware of the importance of this issue to you and to Scotland.

“My department continues to actively engage with the Treasury on the need for a review along the lines we have discussed.”

A Scottish Government spokesman accused Mr Gove of incorrectly conflating the issue of post-Brexit funding arrangements and the historic convergence uplift problem.

Meanwhile, Mr Ewing has described the delay to the review as “completely unacceptable”.

He said that to date the UK Government had only allocated around £30m to Scotland and the rest of the convergence uplift cash, totalling £160m, had been distributed across the UK.

“Scottish hill farmers are owed £160m, which the UK Government has repeatedly ignored,” added Mr Ewing.

He said the money should be returned to Scotland, because the money was earned in Scotland.

“Our demand for the monies to be returned to Scotland is not against farmers in other parts of the UK, but is about setting a precedent for future agricultural funding within the UK,” said Mr Ewing.

“Without progress on this issue, how can we trust that Scotland will be fairly treated in future funding discussions when there is a long-standing unresolved issue?

“Having already secured the review and agreed its independent chair, it is disappointing to learn that the review is being kicked into the long grass.”

Mr Gove has previously given mixed messages over sorting out the convergence uplift issue.

At last year’s Royal Highland Show, he pledged to look into the issue and ensure future funding was allocated in as transparent a way as possible.

But last September he likened the issue to trying to unscramble an omelette, said it was in the past and the money had been baked into the current system.

Picture: Getty. The EU convergence money was allocated to the UK to make up for the low per hectare subsidy support paid to farmers in Scotland.