Government IT system still not fit for purpose
The ongoing problems with the Scottish Government’s farm support IT system does little to provide confidence that it will be capable of delivering a clear, effective policy with appropriate systems for 2019 and beyond.
That was one of the conclusions drawn in the Anderson Centre’s annual Outlook publication which will be launched by the farm consultants this morning at a meeting in the Borders.
Among a wide-ranging series of analysis of the major UK farming sectors, the report’s focus on Scotland states that the Scottish Government still does not have an IT system which is capable of dealing with the application, processing and payments for the Basic Payment Scheme and Rural Scotland Development schemes.
However, report coauthors Ben Kellagher and Alex Caraffi do acknowledge that further commitments have been made to have the system fit for purpose by 2018 – and that the loan system is “working out well” for recipients who have received 90 per cent of their dues earlier than they would have with full payment.
The pair also highlighted that while Brexit might be the focus of many meetings around the country, the sector also has several immediate challenges to address.
They also singled out the consequences of reductions in the Less Favoured Areas Support Scheme and rural development budgets as likely causes for concern. The changes brought in by the Land Reform Act and the ongoing battle over the balance of power for agricultural policy between Westminster and Edinburgh were also flagged up.
The report states that while the LFASS regime was due to change because of new European Union regulations, the 2018 “parachute payment” equivalent to 80 per cent of the 2017 payments would be further reduced to 65 per cent in 2019.
Stating that farmers in receipt of LFASS were among those most in need of financial support, the report recommends: “Those farmers will need to understand the impact of these reductions and ensure their businesses can adapt to bear them.”
Commenting that there was no guaranteed consensus on the way forward for the broader support regime, the analysis however, stated that the wishes of those hoping for a bonfire of the regulations were unlikely to be fulfilled: “What is clear is that Scotland’s landscape and environment is going to be very much part of future agricultural policy and so those hoping for a slashing of the red tape and burden of green requirements are likely to be disappointed – while those willing to adopt positive management actions may well be better rewarded.”
Accepting that the Scottish agriculture was in for some years of uncertainty, the Scottish report concludes that a flexible, fleet of foot approach might pay off.
“Managers of individual businesses should focus on those things they can control, whilst keeping a close eye on those things which they cannot influence, and the opportunities and threats they may create.”