This item was published during the term of a previous administration that ended in April 2007
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Less Favoured Area Support Scheme
16/01/2007
The Executive today announced the start of payments worth £40 million under the Less Favoured Area Support Scheme (LFASS).
The payments, to producers who qualified for an LFASS 2006 payment, will help the transition to a new payment timetable.
Rural Development Minister Ross Finnie said:
"LFASS is a crucial lifeline for over 13,000 farmers and crofters in Scotland's remote areas.
"This will greatly help the producers who rely on the traditional spring payments of LFASS to see them through a difficult time of year.
"I've no doubt the £40 million we are paying will contribute to ensuring the long term viability of the farming and crofting in Scotland."
The new EC Rural Development Regulation, which came into force on January 1, 2007 extends cross compliance conditions to all Rural Development Schemes including LFASS. This means that from 2007, LFASS will be based on land identified in the Single Application Form, submitted by May 15 in the same year. For this reason, LFASS payments will no longer be made in spring each year.
In recognition of the difficulties for the industry the permanent change in payment timing would bring, Rural Development Minister Ross Finnie sought agreement from the European Commission to make a supplementary payment to LFASS 2006
LFASS payments remain at £61 million per year.
Supplementary payments are expected to be in producers' bank accounts towards the end of January. Producers who have not been paid by then should contact their local SEERAD area office but not before February 12.