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Scottish Rural Development Programme funding plans announced
Cabinet Seceretary for Rural Affairs and Environment Richard Lochhead today, 31st May 2007, announced funding plans for the Scottish Rural Development Programme 2007 -2013, with investment of almost £1.6 billion over the seven years.Rates of voluntary modulation are lower than had previously been speculated and there will be a funding package to encourage new entrants into farming.
Richard Lochhead said, "This is excellent news for rural communities across the country. Farmers, foresters and environmental interests will reap enormous benefits.
"In my first action as Cabinet Secretary, I called in key stakeholders to hear at first hand their views on the programme which they all helped to shape.
"Not only am I able to approve the programme in its entirety, Cabinet have agreed to allocate a further £10 million Scottish Government funding over seven years to expand it further.
“What we now have is the largest investment programme in history for rural Scotland which will benefit everyone. This will ensure the programme will increase competitiveness in agriculture and forestry, enhance the environment and support rural communities.
"I am pleased the rate of voluntary modulation – the transfer of funds from the Single Farm Payment to Rural Development – will be much lower than some of the speculative figures that have appeared in recent weeks.
"I am also using today’s opportunity to announce that we will be going ahead with a £10 million package as part of the seven year programme to attract new entrants into farming. New blood is essential to sustain the vitality of Scotland’s rural communities."
The investment of £1.59 billion over seven years will come from the Scottish Government, the European Agriculture Fund for Rural Development and national modulation of the Single Farm Payment.
Rates of voluntary modulation
Voluntary modulation is the transfer of funds from the Single Farm Payment (Pillar 1 of the Common Agriculture Policy) to the Rural Development Fund (Pillar 2 of the Common Agricultural Policy).
The rates of voluntary modulation will be:
- 5 per cent in 2007
- 8 per cent in 2008
- 8.5 per cent in 2009
- 9 per cent in each year from 2010-12 inclusive
The rates of voluntary modulation for Scotland will be submitted to the European Commission as part of the UK submission on or before 12th June 2007.
- Source
- Scottish Executive
- Date
- 31-May-2007
- Categories
- COMMUNITIES, COUNTRYSIDE, FUNDING, All Scotland, News - General, News - Top Story
Small step
1-Jun-2007 @ 09:04AM
Michael Johnston
I welcome this small step in the right direction.(best of a bad job) Remember compulsory modulation (5%) has to be added to this meaning 10% of payment is lost in the first year alone. We now have to see if a fair system is available to apply to unlike the flawed unsuccessful unfair RSS scheme. I doubt we will see anything workable before summer 2008 (we will see lots before that but it wont work or be fair)