Agribusiness News November 2024 – Policy Brief
1 November 2024Scottish Suckler Beef Support Scheme
The Scottish Minister for Agriculture and Connectivity Jim Fairlie MSP has confirmed that the 410-day calving interval threshold for eligibility the Scottish Suckler Beef Support Scheme will be kept for the 2026 Scheme year. However, under the Scheme terms and conditions, the calving interval threshold could be reduced by up to 10 days in subsequent years. Notification of which will be provided in advance.
From 1st January 2025, calves will only be eligible for a Beef Support Scheme payment if their dam has a calving interval threshold of 410 days or less. The first calf of any dam will be exempt from the calving interval conditionality.
To help answer any questions that suckler producers may have with regards changes being implemented from 2025, please see online at Scottish-Suckler-Beef-Support-Scheme-FAQ-June-2024-v2.pdf
UK Budget October 2024 Snapshot
- From April 2025, the Employers National Insurance rate is increasing from 13.8% up to 15%, with the National Insurance payment threshold dropping from £9,100 to £5,000.
- From April 2025, The Employment Allowance which allows smaller companies to reduce their National Insurance liability is to increase from £5,000 to £10,500.
- From 30th October 2024, Capital Gains Tax rates were increased, the lower rate from 10% to 18%, and the higher rate from 20% to 24%.
- From April 2025, the minimum hourly wage is set to rise to £12.21 for over 21s; to £10 for 18-20 year olds and to £7.55 for apprentices.
- The current Inheritance Tax threshold of £325,000 will be frozen until April 2030.
- From April 2026, the 100% Agricultural & Business Property Relief Tax will remain at a zero rate for the first £1 million of combined agriculture and property assets. However, gains will be charged at 20% thereafter.
June Agricultural Census 2024
As highlighted in the Scottish Agricultural June 2024 Census results, the long-term trend is continuing in terms of declining livestock numbers. From 2023 to 2024, the number of beef breeding females fell by 1.1% to 648,018; breeding ewes numbers fell by 2.3% to 2.451 million, with breeding hoggs falling by 5.7% to 543,713 and breeding pig numbers falling by 7.9% to 28,688.
In contrast, dairy breeding females rose by 0.8% to 266,146. Interestingly, goat numbers rose by 5.7%, deer numbers by 7.8%, donkeys by 8.9% and camelids by 11.1%, but the number of bee hives recorded fell by a staggering 23.8%.
Although the total area of land used for growing cereals (wheat, barley, oats and other cereals) decreased by 0.8% from 2023 to 2024; with adverse weather affecting sowing, winter plantings of wheat fell by 8.5%, barley by 7.5% and oats by 8.1% while in contrast, spring plantings of barley rose by 3.2% and oats by 12.2%. While planting of oilseeds fell by 10%, field beans were up by 10% and peas up by 23.2%.
On a positive note, the Agricultural Census showed that the total workforce on agricultural holdings in Scotland in 2024 increased by 1% to 67,392 people, with casual and seasonal staff numbers up by 0.3%.
For more details on the census results please see online at: Agricultural Census Statistics, June 2024 – gov.scot
Seasonal worker visas scheme 2025
In recognition of the importance of seasonal workers to Scottish agriculture, under the Seasonal Agricultural Workers Scheme (SAWS) for 2025, 43,000 visas will be made available to the UK horticultural sector and 2,000 visas will be made available to the poultry sector.
Published alongside the announcement was Defra’s 2023 seasonal worker’s survey report. The survey found that 91% of respondents reported a positive experience from their time in the UK and 95% expressed a desire to return.
Scottish Aggregates Tax
A new Scottish tax aimed at encouraging the use of recycled materials in construction has been approved by the Scottish Parliament. The Aggregates Tax and Devolved Taxes Administration (Scotland) Bill will replace the UK Aggregates Levy. As the Bill has still to receive Royal Assent, the rate of tax has not yet been defined.
For further details of the Bill please see online at Scottish Aggregates Tax
| Date | Action |
|---|---|
| 30 Nov 24 | Scottish Upland Sheep Support Scheme application window closes |
| 31 Dec 24 | Scottish Suckler Beef Support Scheme application window closes |
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