CUMBRIAN farmers who have entitlements they want to trade under the current Single Payment Scheme (SPS) should do so now – or risk losing them for no value when the Basic Payment Scheme comes into force next year.

That’s the message from James Bendle of H&H Land and Property, which is reminding Cumbrian landowners they only have until October 21 to trade entitlements before the new Basic Payment Scheme (BPS) starts in January.

No trading will be permitted between the October deadline and the start of the BPS, and although trading will restart from mid-January to April 2 next year, values under BPS are predicted to be significantly lower than at present.

Mr Bendle, who advises clients across Cumbria, said: “It is now known that those with less than five hectares will lose their entitlements under the BPS and those with surplus entitlements will also lose out to the national reserve.

“Now is the time to trade surplus entitle-ments if you don’t want to risk losing out. Currently, we have around 500 hectares of moorland, Severely Disadvantaged Area (SDA) and Non-SDA entitlements to trade. We expect demand to inc-rease as the deadline approaches and we are looking for more to trade. It certainly is a buyers’ market.”

Under current prices, Non-SDA entitlements are trading at £160+VAT per unit, while SDA is selling at £180+VAT and Moorland at £60+VAT.

Although the value of moorland entitlements has increased since spring, non-SDA values are down significantly.

Anyone who has bought land without entitlements cannot claim subsidy of any type for it. If you have moorland land, for example, you need to have a moorland entitlement in order to make a claim.

Everyone registered to claim subsidy can trade entitlements and those held under SPS will automatically roll over into the new BPS scheme in January. However, the rules have changed under the latest CAP reform.

Mr Bendle said: “Historically, any land-owner could trade entitlements, including ‘slipper farmers’. However, you now have to pass an active farmers test.”