Forestry Commission England and DARDS in Northern Ireland have made their commitments under the woodland grant schemes. Meanwhile, both Rural Payments Wales and  the Scottish Government have promised payments will be made to their farmers in time for Christmas. 

Forestry Commission England has confirmed that EWGS contracts are now being offered to woodland creation grant applicants. In a previous communication it was mentioned that there was a delay issuing contracts pendinge still waiting for EU approval. This is still the case, with approval not expected until at least January 2010. In light of this and the impact late approval would have on woodland planting this year, FCE has been liaising with Defra and Defra have now agreed that FCE can issue woodland creation grant contracts (including the new Farm Woodland Payment rates) in advance of EU approval. This means there is no risk to the applicant and are guaranteed their rate as set out in the contract, even if the EU do not approve the proposed rates. 

This support for woodland creation from the FCE and Defra should mean landowners have their contracts in time to carry out planting this season and claim grant. FCE's keenness to ensure planting can take place this season means the first contracts to be issued will be those for this years planting; others that are not urgent or involve changes to old contracts will take lower priority

There are a number of existing contracts where FWPS or FWP has been claimed against set-aside and are affected by recent EU rule changes. FCE will be contacting the 300 or so affected cases in December explaining the situation.

Meanwhile, in Northern Ireland, DARD has confirmed that grants under the Woodland Grant Scheme (WGS) and Farm Woodland Premium Scheme (FWPS) will be increased in 2010.

Minister Michelle Gildernew MP, MLA, announced increases in forestry grants, under the Rural Development Programme to encourage more farmers and landowners to create their own woodland.

WGS rates are set to rise by up to 30%. The scheme is open to all landowners wishing to establish new woodland. The FWPS, which provides an annual payment for up to 15 years to compensate for loss of agricultural income, will see its rates increased by as much as 50%.

The announcement was made following Forest Service consultation with a cross section of stakeholders involved in woodland creation and a subsequent review of the Woodland Grant Scheme and Farm Woodland Premium Scheme payment rates.

The Woodland Grant Scheme will now pay £2,400 per hectare for broadleaved woodland and £1,600 per hectare for conifer woodland. 

For new farmer applicants and farmer applicants under the current Farm Woodland Premium Scheme open since January 2007, annual payment rates will increase by as much as 50%. These higher rates range up to £290 per hectare (or £117 per acre) per year and compare very favourably with current conacre rates for grassland. They depend on the category of land to be planted and whether it is inside or outside the Less Favoured Areas (LFA), so check first before applying.

Forest Service will also continue to provide funding for the Short Rotation Coppice Scheme, at least until 2013 when the current Rural Development Programme comes to an end. Already farmers have created approximately 800 ha of Short Rotation Coppice for an energy end use, under this scheme, and its predecessor, the Short Rotation Coppice Challenge Fund.

Lastly, anyone claiming Single Farm Payment (SFP) in 2008, you can now plant their land, and continue to claim SFP as well as the annual FWPS forestry payments.

In Wales, 82.5% of farmers will receive Single Payments totalling more than £200m from Tuesday, 1 December, claims Rural Payments Wales. This matches last year’s achievement, in addition  to processing 258 advance payments worth about £5m in mid October to farmers affected by the demise of Dairy Farmers of Britain.  

Attending the Royal Welsh Winter Fair at Llanelwedd, minister Elin Jones said: "This year I expect 90% of our farmers to receive their payments by the end of December. Being able to plan ahead is important for all businesses, including farming. The fact that so many farmers can expect to receive their Single Payment in the first month of the seven-month payment period will be of great assistance, particularly in these times of financial difficulty. This demonstrates the commitment and dedication of staff in Rural Payments Wales to helping farmers in these difficult economic times.

"Further welcome news is that there will be a small boost in income for most Welsh farming families this year, as those that receive the single payments in sterling will get an 11 per cent increase, net of modulation, for the same entitlements held, as a result of the exchange rate difference."

And NFU Scotland has welcomed the announcement from the Scottish Government that the majority of Scottish farmers will have their lifeline Single Farm Payments (SFP) in their bank accounts on Tuesday (December 1), injecting more than £400m into the rural economy.

The Union is delighted that the Scottish Government continues to meet its commitment to prompt payment of support.   Tuesday is the first day payments are permitted by European regulations and around 75% of claimants will receive payment into their bank accounts by the end of the first week of the month. By the end of December, Scottish Government has pledged that 90% of eligible producers – 20,200 businesses – will have received SFP worth £460m.

NFU Scotland chief executive, James Withers says: “It is great news for Scottish farmers and crofters that the Scottish Government has maintained its excellent record in getting lifeline SFP out the door and into farmers’ bank accounts.   

“This injection of funds into the country’s farm businesses is hugely important to rural communities as a whole and helps underpin the economic and environmental activity that farming generates.

“Our members’ thoughts are already turning to what shape SFP and the Common Agricultural Policy will take in the future.  There are only three meetings left to go in our current round of SFP roadshows. Although we are at an early stage in the SFP debate, the interest has been phenomenal, with more than 1000 members attending the meetings we have held so far.”