Why NFU Cymru believes that Welsh farmers have lost £95m as a result of the 2020 Spending Review. A thread. 1/10 https://twitter.com/NFUCymru/status/1331669311111507968

The UK Government guaranteed to maintain the current annual budget to farmers in every year of the next Parliament in its manifesto.
Both Welsh and UK Government appear to agree that £337m is the annual figure that Welsh farmers should receive from 2021. 2/10

The UK Government appears to have agreed to give Welsh Government a figure of £242m for the 2021/22 financial year.
This leaves a shortfall of £95m (£337m-£242m). 3/10

Our understanding is this is because UK Government is 'netting off' the value of the EU unspent funds from the 2014-2020 programme and the Pillar transfer money. 4/10

So that is why we believe that the UK Treasury has decided to deduct the £95m from the £337m to arrive at the £242 figure announced.
The rules for the 2014-2020 RDP and the EU withdrawal agreement allow for EU funds to be spent up to the end of 2023. 5/10

The funding for the new RDP should not be deducted as a result of any outstanding spend from the previous RDP. It is a common occurrence for two RDPs to run side by side for a period of time to allow a smooth transition from one RDP to the next. 6/10

Our view is that in order to maintain current funding levels for farming, Welsh farmers should receive £337m annually for the domestic BPS and domestic RDP programmes that should begin on 1st Jan 2021 together, with the full commitment of the 2014–2020 EU RDP Programme. 7/10

To be clear - to maintain current funding to Welsh farmers this should mean maintenance of annual BPS budget, full spend of current RDP (2014 – 2020) (under N+3 rules this allows spend up until 2023) and full replacement funding for a new domestic RDP starting 1st Jan 2021. 8/10

That said, we have major issues with the way Welsh Government has delivered on the 2014-2020 RDP. We have, on a number of occasions, called for an Independent Review of the Wales RDP. 9/10

What we cannot accept is Welsh farmers losing out on this funding as a result of disagreements between governments. 10/10