Chilly start but some cheer from Lochhead

SAF: Team to ‘pull out all the stops’ on delivery of payments

Brrr! The opening day of the 2015 Royal Highland Show was dry but, my goodness, it was cold. It is doubtful if the unseasonable chill affected the attendance, but it kept the crowd on the move.

Perhaps it all reflected the coolness in the whole agricultural sector, but there was some cheer from Rural Affairs Secretary Richard Lochhead when he spoke at the Quality Meat Scotland breakfast which traditionally opens the show.

More than 20,000 Single Application Forms for CAP support had been lodged by the deadline on Monday and the focus is now on processing payments on time.

Industry commentators and bankers have spoken of payments not being received until spring, but Mr Lochhead said: “I have asked the team to pull out all the stops to achieve payments by the end of December.” There were no guar- antees, but he did commit to giving “clear and regular updates” on progress.

“We will also look at all the flexibilities available, such as paying instalments or splitting up the basic and greening payments,” he added.

Ahead of Defra Secretary Liz Truss’s visit to the show today he called on her to deliver, and even accelerate her predecessor Owen Paterson’s commitment to review the allocation of CAP budget between the UK administrations.

This has been a running sore for 18 months, with interest groups reckoning that, if this had been fairly distributed, Scotland would have gained 180 million euros of extra funding over six years.

Later in the day, however, Scottish Secretary David Mundell dismissed this as “raising the old chestnut of convergence” in an attempt by the Scottish Government to divert attention from its own shortcomings on CAP implementation and its agenda on land reform.

Back at QMS, Mr Lochhead had also raised the spectre of a UK agriculture bereft of any support mechanism in the event of an “out” vote in the EU referendum. “The CAP acts like a shield but the UK policy would see it disappear and, with it, £500m of support, “he said.

But Mr Mundell insisted: “I am not contemplating the UK leaving the EU. I know there are people who want to leave, but I think the Prime Minister will complete negotiations successfully.”

There was more unanimity on the 10-year-old saga of red meat levy repatriation to Scotland. There was a “flicker of light at the end of the tunnel” on this, said Mr Lochhead. He hoped the matter, which could bring £1m a year into QMS coffers, could be resolved by 2017.

Mr Mundell also said he wanted to see a resolution and, as the minister responsible for taking forward the Smith Commission, it would be in his remit.

Picture: Craig Stephen. Rural Affairs Secretary Richard Lochhead pledged to give regular updates on SAF payments and to look at all the flexibilities available.