Question to the Department for Environment, Food and Rural Affairs:

To ask the Secretary of State for Environment, Food and Rural Affairs, what plans he has to support farmers from rising input costs.

We have recognised that increasing input costs, particularly fertiliser, feed, fuel and energy, are creating short term pressures on cash flow.

The Secretary of State recently announced a range of measures in support of the current situation, such as delaying changes to the use of urea fertiliser to help farmers manage their costs and improving statutory guidance for use of slurry. On 31 March I also hosted the first meeting of the Fertiliser Taskforce with key industry bodies to discuss potential mitigations to the challenges which global supply pressures are causing. Ministers will continue to meet with key industry bodies for further Fertiliser Taskforce sessions in the coming months, to help identify and mitigate potential risks.

In addition, the 2022 Basic Payment Scheme (BPS) payment will be made in two instalments to give farmers an advance injection of cash. Farmers with eligible applications will receive half of their payment from the end of July, and the rest from December. By doing this, the Government intends to inject cash into farm businesses, helping them to make business decisions sooner, with more confidence.

This builds on the increase in revenue payment rates for the Countryside Stewardship scheme to reflect the change in costs since 2013, which Defra announced in January 2022. The majority of payment rates increased, on average by around 30%, although rate changes vary from option to option. These changes affected around 30,000 agreements.

In March 2022, Defra began rolling out the Sustainable Farming Incentive (SFI) to recipients of the BPS. SFI will help with the costs of sowing nitrogen fixing plants and green manures in crops to substitute some fertiliser requirements for the coming season, as well as reducing the dependence on manufactured fertilisers which are impacted by the price of gas. Rising fertiliser prices highlight that we need to find alternatives and move towards more organic-based fertiliser products. SFI is designed to help farmers move to these new sustainable farming methods gradually - which will improve environmental conditions of the land, while building the long-term resilience of our food security and production

We continue to keep the market situation under review through the UK Agriculture Market Monitoring Group, which monitors UK agricultural markets including price, supply, inputs, trade and recent developments. We have also increased our engagement with industry to supplement our analysis with real time intelligence.