1. The Future of Farming in the South Downs National Park
NPA 30th March 2017

2. Landscape of this National Park is crucially dependent on the future of farming and forestry

3. The CAP as it stands now €16.2 million €1.5 million CAP 2014-2020
Pillar 1
Direct Payments
Scheme
Pillar 2 – Rural Development Programme
Countryside Stewardship (Mid-tier & Higher-tier)
Leader
Basic Payment
Greening Payment
Pillar 1 – Income Support – A policy to help stabilise farm revenues in the face of volatile market prices, unpredictable weather conditions and variable input costs. A small element of environmental responsibility / cross compliance to adhere to. Often seen as Income Support.
Greening Rules: Farmers over 30ha must grow at least three crops, main crop covering no more than 75% of land. 5% of land must also be set aside as an EFA.
Farmers in SDNP get approx. £180 per ha under Pillar 1 (£125 per ha for BPS and £55 per ha for Greening)
Pillar 2 – 3 issues with funding. 1) small compared to Pillar 1. 2) not exclusively for the environment also for rural development – IS THIS A PROBLEM? 3) poorly targeted and badly monitored.
€16.2 million
€1.5 million

4. National context
In 2020 the current Common Agricultural Policy (CAP) agreement period ends and the Chancellor’s guarantees of continuing subsidy runs out;
Most are in agreement that simply replicating CAP into a UK Agricultural Policy after 2020 is not a good idea;
Lots of consensus about shifting emphasis from income support to public money for public goods, includes CLA and ENGOs;
UK’s withdrawal from the EU provides an opportunity, but it will be hard to carve out a level of funding equivalent to current CAP as many other spending priorities.

5. Achieving influence for NPE and SDNPA
National Parks England (NPE) Future of Farming Group has developed national paper and a clear proposition to Defra
Aim: to provide advice to NPE Board on the strategic priorities in relation to farming post the UK’s withdrawal from the EU to ensure environmentally sustainable farming in national parks and the pursuit of National Parks Purposes.
Develop outline principles / proposals for a new agri-environment scheme in national parks.
SDNPA to engage with partners to develop a South Downs National Park view of what is needed and what could work

6. Defra GREEN PAPERS - 12 WEEKS (84 DAYS) CONSULTATION PERIOD
Response to Green Papers submitted
Development of NPE Future of Farming Group Response to Green Papers
SDNP Members and Partnership Workshop to finalise response
SDNP Members and Partnership Session
South Downs Lawton Group Session
Farmer / Landowner Session (2/3 per (6) farm clusters)
Summary Report of three Sessions and Forum
SDNP Responses to Green Papers submitted
South Downs pilot proposals submitted to Defra
Intranet Forum
Day 60
Day 70
Day 84
Sessions & Forum between days 1 to 50
Post Day 84
Three Farmer Workshop(s) for developing pilot proposals (Workshop 1 – Arun to Adur Farmers on 28 / 04)

7. Emerging proposals from the NPE group on Future of Farming
Three levels.
National Park FARM Scheme (broad and shallow)
Locally-led FARM plus scheme (narrow and deep)
Wider rural development measures to replace LEADER
Opportunities for new markets eg Payment for Ecosystem Services
Pragmatic transition
Role of the National Park Authorities in delivery
National Park Custodian Scheme: Replace BPS and be equivalent to a broad and shallow agri-environment scheme. Voluntary and focused on ensuring a base level of good environmental management. Certain management obligations tailored to each national park and some cross compliance.
It should perhaps only apply where PES is not possible or else it could be viewed as another BPS but in another guise.  The scheme needs to be economically attractive and workable (for both upland and lowland NP farmers  - the requirements of which may be different) and provide value for money / make a real difference on the ground (something which the BPS does not always achieve and is therefore often viewed as providing income support for farming with minimal environmental benefits).  In addition,  this scheme needs to be more explicit on being an outcome based and landscape scale / farm cluster approach (based on the Lawton principles). 
Locally-led Agri-environment or Sustainability Scheme: Focused on delivering multiple environmental benefits with options that allow for the delivery of; landscape, biodiversity, carbon management, water management, forestry / woodland, historic environment and access / education.
This also needs to be of a landscape scale / farm cluster approach, perhaps alongside comprehensive whole farm / estate plans.  High quality schemes will be paramount to ensure value for money.  Certainly in the past, with regard to early HLS history, there was a tendency by Natural England for quantity over quality – many of which perhaps did not represent good value for money.
Wider rural development: Delivery of integrated place-based solutions. E.g. the Leader type model of community-led local development. Could be both grants and loans. In addition should this wider rural development funding provide opportunities for training, innovation and research?
The paper is heavily focused on the development of new agri-environment schemes in NPs.  Needs to consider other areas of potential farming incomes (e.g. payment for ecosystem services (PES)), so that it is more about the future of farming in NPs (don’t want to give Defra the impression that NPs are subsidy reliant)?  PES is a concept that is rather underplayed in the paper and therefore perhaps a missed opportunity.   

8. Current income for land management in the South Downs National Park
Current agri-environment scheme
Existing
Consumers
Commodities, e.g. grain, meat, timber
LEADER, ERDF funds etc.
Visitors

9. Future income for land management in the South Downs National Park
New customers, e.g. water companies
Future income for land management in the South Downs National Park
New
Ecosystem services, e.g. clean water, carbon
storage
Green Bonds
New
Natural Capital, e.g. woodland, reedbed
CIL
Biodiversity compensation
Commodities, e.g. grain, meat, timber
Other public
goods for which no market yet e.g. views, access, biodiversity
New agri-environment scheme replacing CAP
Existing
Consumers
Wider rural economic activities
New schemes to replace LEADER etc.
Visitors