The Agriculture (Delinked Payments) (Reductions) (England) Regulations 2025
The Agriculture (Delinked Payments) (Reductions) (England) Regulations 2025, enacted under the Agriculture Act 2020, mandate reductions to delinked payments for English farmers in 2025.
These reductions are tiered based on the payment amount, with a 76% reduction for payments up to £30,000 and a 100% reduction for amounts above that threshold, impacting several sections of previously enacted Delinked Payments Regulations.
The regulations clarify how these percentages are to be applied and came into effect 21 days after their creation.
Arguments For
Intended Benefit: The regulations aim to implement specific adjustments to the delinked payment scheme, potentially addressing budgetary constraints or policy shifts.
Legal/Historical Basis: The regulations are made under the powers granted by sections 12(1) and 50(3) of the Agriculture Act 2020, and a draft was approved by Parliament, ensuring democratic oversight.
Implementation Methods: The regulations clearly define the reduction percentages and how they apply, providing a transparent and straightforward implementation process. The required actions by the Secretary of State in making payments are detailed.
Evidence Cited: While not explicitly stated, the regulations imply a need for adjustment based on financial or policy considerations driving the Agriculture Act 2020 and its subsequent amendments.
Arguments Against
Potential Impacts: The reductions to delinked payments may negatively affect farmers' incomes, potentially impacting agricultural production and rural economies.
Implementation Challenges: Applying the reduction percentages and ensuring accurate calculations across numerous recipients may present logistical challenges.
Unintended Effects: The regulations might create unforeseen consequences, such as reduced investment in sustainable farming practices or increased financial hardship for smaller farmers.
Alternative Approaches: Alternative approaches to budgetary management could have been explored, such as adjusting future funding levels or exploring other support mechanisms for farmers.
- Citation, commencement, extent and application (1) These Regulations may be cited as the Agriculture (Delinked Payments) (Reductions) (England) Regulations 2025. (2) They— (a) come into force on the day which falls 21 days after the date on which they are made; (b) extend to England and Wales but apply in relation to England only.
This section establishes the citation, effective date, geographical reach, and scope of the regulations.
The regulations are titled the "Agriculture (Delinked Payments) (Reductions) (England) Regulations 2025." They become law 21 days after enactment and cover England and Wales, but only apply in England.
- Interpretation In these Regulations, “the Delinked Payments Regulations” means the Agriculture (Delinked Payments and Consequential Provisions) (England) Regulations 2023.
This section defines the term "the Delinked Payments Regulations" as the Agriculture (Delinked Payments and Consequential Provisions) (England) Regulations 2023, creating a shorthand for reference within the document.
- Reductions to be applied to delinked payments for the year 2025 (1) Before paying a delinked payment to any person under regulation 9(1) of the Delinked Payments Regulations (making delinked payments) for the year beginning on 1st January 2025, the Secretary of State must reduce the amount calculated in respect of that person under paragraph 5 of Schedule 1 to those Regulations (calculation of delinked payments) by the appropriate reduction percentage or percentages specified for that year. (2) The appropriate reduction percentage or percentages referred to in paragraph (1) are the percentage amounts listed in the second column of the table under this paragraph when applied to the portion of the delinked payment described in the corresponding entry in the first column of that table. Table Reductions to be applied to delinked payments for the year 2025 Portion of delinked payment | Reduction percentage to be applied to the corresponding portion of the delinked payment £30,000.00 or less | 76% Any amount above £30,000.00 | 100%
This section details the reduction process for delinked payments in 2025.
Before making payments, the Secretary of State must reduce them based on a tiered percentage system indicated in the table; 76% for amounts up to £30,000 and 100% for amounts above £30,000.
The calculation of the reduction is based on previously determined amounts as calculated in the 2023 regulations.
- Modification of Part 3 of the Delinked Payments Regulations For the purposes of a delinked payment payable to any person under regulation 9(1) of the Delinked Payments Regulations for the year beginning on 1st January 2025 only, in Part 3 of the Delinked Payments Regulations, references to a “delinked payment” are to be construed as references to the amount of any such payment as reduced by the reduction percentage or percentages that the Secretary of State is required to apply by virtue of regulation 3 of these Regulations.
This section clarifies that within Part 3 of the Delinked Payments Regulations, all references to "delinked payment" for payments made in 2025 should consider the already applied reduction percentages mandated by regulation 3.
Essentially, the existing document’s references are updated to reflect the new reality of reduced payment levels.
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