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Business loan for unfortunate farmers
Reported on Tue, 17 Jan 2006
A Scottish farming business received over £1 million in European Union subsidies in 2004, according to figures released by the Scottish Executive.
Six other farms were given more than £500,000 and about 750 farmers got over £100,000 from the Common Agricultural Policy (CAP) budget.
However, the majority of Scottish farms (15,735 out of 21,047) were awarded less than £30,000 and 10,682 of those received less than £10,000.
These figures are likely to be similar for 2005, but they hide the change to the CAP system, reports the Scotsman.
Previously, a farm subsidy was directly related to production levels of beef, sheep, grain and oilseed amongst others with no, or very limited, subsidies for milk, potatoes, vegetables, pigs or poultry.
However, last year a new system was established where farmers receive one single annual payment, if they meet the required husbandry and environmental care standards, instead of a number of subsidies paid at different times of the year.
Farmers that miss out on receiving CAP payments can take out a small business loan to help improve and expand their business. There are many low rate business loans available. 