To ask the Scottish Executive, further to the answer to question S3W-19776 by Richard Lochhead on 28 January 2009, what steps it has taken since 28 January 2009 to ensure that the next round of Less Favoured Area Support Scheme (LFASS) payments and single farm payments can both be made in 2009.
In my answer to question S3W-19776, and in previous correspondence with the Member, I said that officials were already looking carefully at the payment positions for the 2009 Less Favoured Area Support Scheme (LFASS), and the 2009 Single Farm Payment Scheme (SFPS).
My officials will continue to examine the feasibility of combining LFASS and SFPS payments in the longer term; making those payments in parallel; or starting the 2009 LFASS payments in December, after the bulk of the SFPS payments have been made. However, I continue to support the view that early delivery of our SFPS payments must continue to take absolute priority, not least because that is where the bulk of the money lies and how we deliver the greatest amount of benefit to our farmers and crofters. Any move from that basic assumption would have major consequences for both SFPS and the wider SRDP delivery work as well. No solution has yet been identified to enable the combination of LFASS and SFPS this year or for them to be paid in parallel. However, we would aim to at least match our 2008 LFASS payment performance, which itself was an improvement over the 2007 scheme. For the 2007 LFASS, payments began to appear in bank accounts on 11 February 2008, and by 20 March, 95% of eligible applicants had been paid. New entrants waited until May 2008 before receiving payments.
By comparison, the 2008 LFASS payments started on 16 January this year, immediately after the EU Regulatory requirements had been met. By 31 January, almost 90% of eligible applicants had been paid, and by 23 March, this increased to around 95% of eligible applicants. Furthermore, eligible new entrants started receiving payment on 6 March, more than two months ahead of last year. These payments continue to roll out.
As for the SFPS, EU Regulations do not permit payments to be made before 1 December each year and, like LFASS, only then if we have verified that all eligibility requirements have been met. Our strategy for 2009 is to gear up to deliver the highest possible value of SFPS payments from the earliest date permissible.