"BAC" wrote in message
...



What SFP and the latest round of CAP reform has done is it has taken the
money away from food production and put it onto environmental work. As
there
is damn all profit in food production, then there is no money from that
enterprise to cross subsidise the environmental work (which is what has
been
happening in many if not most cases) so the environmental work has to
stand
on its own feet economically. We looked at Entry Level Stewardship and
decided that it didn't cover the cost of the hassle of the paperwork
applying so we aren't taking part



Good points. We will have to hope the next round of CAP reform doesn't
further erode the environmental payments, as I believe some on the
continent
have suggested, or we will have the worst of both worlds - no food
production to speak of, and little environmental protection, either.


Well actually it is the UK government, or at least Tony and Gordon, who have
been demanding further cuts.
As there is no money for production (the sugar regieme is technically still
continuing but is being wound down) all money is for environmental
work/public goods.
Hence any cut in the amount of money is a cut in environmental spending.
By my reckonning a lot of intensive dairy farms will start to drop out of
cross compliance in a couple of years time as the costs of cross compliance
will no longer be matched by the money recieved from SFP.
For hill farms it is more difficult to calculate, much depends on what
happens with other, non-SFP hill farm allowance and similar. But it looks as
if government are intent on cranking up the costs of cross compliance, and
as sheep aren't actually an income stream, but are a cost, it is likely that
we are going to get major changes in the uplands.

Jim Webster