With the government having confirmed that Basic Payment Scheme (BPS) direct payments will be phased out in England starting in 2021, we know many farmers wish to assess what effect it will have on their farm business profits.
Our Farming Department has produced two tools to help you explore and understand what this may mean for your business.
2020-2028 BPS calculator
Our 2020-2028 BPS calculator is a tool which will help with long-term planning on your farm.
We have produced a simple calculator to show how Basic Payment might reduce from 2020 to 2028, so businesses can start to consider how the cuts will affect their profitability. In the absence of guidance from Defra, we have assumed that payments will be reduced by the same percentage in each year from 2022, so it is based on the best knowledge we have available at the moment. If you would like a copy of our calculator from the farming team, please click on the button below to request a copy.
Effect on net profits of changes in farm support & the new Environmental Land Management System (ELMS)
We have also produced a calculator which generates a bespoke, two-page report for any farm, factoring in the shift in support from BPS to ELMS. It extends the analysis in our two ‘future farming gap papers’ – to farm level and adds two new scenarios to our standard set of assumptions – an optimistic and a pessimistic one.
If you would like one of our farming team to populate this calculator for you, please click on the button to contact us and we would be delighted to help you assess your business.