LFASS loan payment letters to be issued in the coming weeks

Loan offer letters for Less Favoured Areas Support Scheme (LFASS) payments will begin arriving on farms and crofts across Scotland in the weeks ahead.

NFU Scotland said the letters are expected to outline an offer of a loan for 90% of last year’s scheme payment to around 11,000 eligible hill farmers and crofters.

The loan scheme was announced by Rural Economy Secretary Fergus Ewing at the union’s annual general meeting last month.

It is expected to inject up to £55 million into the rural economy next month.

NFU Scotland’s less favoured areas committee chairman, Robert MacDonald, who farms at Castle Grant Home Farm near Grantown, said LFASS payments were a vital source of funding for the most vulnerable farmers and crofters in Scotland.

“This early LFASS payment loan is an excellent opportunity for those with hill ground to get the much-needed funding as early as possible and I would encourage anyone who receives a loan letter to fill out the form sooner rather than later,” he added.

Mr MacDonald called on the Scottish Government to ensure timely payments of Scottish Suckler Beef Support Scheme and Scottish Upland Sheep Support Scheme monies.

A Scottish Government spokesperson said: “We will continue to protect and grow our rural economy and would therefore encourage eligible farmers and crofters to strongly consider taking up the offer of a loan.”